
2024 Credit Outlook and Private Credit Focus: Credit Crunch
FICC Focus
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Advantages of Private Credit Transactions
This chapter discusses the characteristics of private credit transactions, including strong security packages, downside protection, covenants, and potential board representation or monitoring rights. It highlights the premium of private credit transactions over public transactions, which is not solely due to liquidity differentials but also considers transaction complexity and counterpart involvement. The speakers also explore the increase in private credit volumes and the role of North Wall in seeking out unique opportunities with specific counterparties.
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