The Rise of Direct Lending

Direct lending has experienced significant growth as a crucial source of capital in the private alternative sector, particularly for corporate borrowers and financial sponsors. This surge can be attributed to the increasing demand for private capital to support the expansion of businesses, as more companies look to leverage direct lending to meet their financing needs. The discussion highlighted how this form of lending has become a dynamic and appealing option for investors seeking yield in a low-interest-rate environment. As this market continues to evolve, it presents both opportunities and challenges for participants, emphasizing the need for careful analysis and strategy.