💡 One point about the relationship between the high interest rate and private debt market: higher interest rate will make some key metrics of the company like interest coverage ratio worse,making it less attractive and more risky for investors. Also, enterprises will be more reluctant to put on leverage to expand businesses. Both sides will bring pressure to the private debt market.
Private credit is in a “Goldilocks” zone when it comes to the current interest rate environment. Vivek Mathew of Antares Capital LP discusses the continued opportunity set for investors in the middle market. Watch the full interview at https://lnkd.in/eDFp2_D6 #PrivateDebt #AlternativeInvesting #FinanceInsights #InvestmentStrategy