Cloud 9fin Private chat — Unlocking liquidity through private credit secondaries
Dec 17, 2025
Join Daniel Roddick, a secondaries market advisor specializing in private credit, and Francois Bouillon, who focuses on private markets dynamics, as they dissect the booming world of private credit secondaries. They explore the drivers behind this growth amid liquidity shortages and subdued M&A activity. Discover how GPs can effectively engage buyers, the differences between LP-led and GP-led transactions, and strategies for less sophisticated LPs to navigate the market. It's a deep dive into a complex but vital sector, offering invaluable insights for investors.
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Private Credit Secondaries Are Rapidly Growing
- Private credit secondaries are surging and could reach $17–20bn in 2025, growing fastest among private market strategies.
- This still represents only ~10% of total secondary volume, signalling large room for continued expansion.
GP-Led Deals Signal Market Maturation
- GP-led secondaries give GPs confidence to proactively provide liquidity and manage LP relationships.
- At present only ~1% of credit AUM trades in secondaries, implying significant untapped market potential.
Credit Continuations Differ From Equity Deals
- Credit continuation vehicles usually involve diversified portfolios and focus on yield and downside protection rather than equity-style capital gains.
- Counterparty and cashflow profiles matter more in credit than equity secondaries, so underwriting differs materially.