The risk premium earned within these private credit asset classes can be broken down into several components – where part of the yield is driven by: (1) base rates (2) credit spread similar to public market equivalents (3) liquidity premium commensurate with the duration of the asset (4) an idiosyncratic or complexity premium Read what drives the yield profile earned in asset-based lending (“ABL”) and direct lending and how the payment schedule differs between ABL and direct lending: https://lnkd.in/e3x2eKpM #PrivateCredit #AssetBasedLending
Nomura Capital Management’s Post
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Private credit continues to draw strong client interest as an income alternative. Advisors: hear David Santoriello, CFA, CAIA discuss how you can approach an allocation to direct lending, including what characteristics to look for when selecting a manager. Register here on RIA Channel: https://okt.to/vaQuj5 #privatecredit #privatewealth #middlemarket
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The private credit market, estimated at $1.7 trillion, is evolving into a vital alternative to traditional bank lending, driven by an expected $5-6 trillion reduction in bank lending over the next decade. Yet, the space requires a deep understanding of risk and opportunity. Private credit may offer advantages, such as lender protections through tailored covenants, and direct engagement with management. By understanding these nuances, advisors can position portfolios to capture the potential of this growing market. You can learn more about the opportunities we see in private credit here ->https://1blk.co/3DqAOix Credit:prvd:fa:hearsay:fa:Insight:dem:spl For Professional Investors Only #alternatives #privatecredit #markets
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Perfecting your interest in loans requires an in-depth understanding of the #UCC as well as additional requirements. Download our lending risk #mitigation infographic to learn more. https://ow.ly/b4IP50SXpTn #ComplianceSolutions #liensolutions #AssetProtection
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The private credit market, estimated at $1.7 trillion, is evolving into a vital alternative to traditional bank lending, driven by an expected $5-6 trillion reduction in bank lending over the next decade. Yet, the space requires a deep understanding of risk and opportunity. Private credit may offer advantages, such as lender protections through tailored covenants, and direct engagement with management. By understanding these nuances, advisors can position portfolios to capture the potential of this growing market. You can learn more about the opportunities we see in private credit here ->https://1blk.co/40ddUEj Credit:prvd:fa:hearsay:fa:Insight:dem:spl For Professional Investors Only #alternatives #privatecredit #markets
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Perfecting your interest in loans requires an in-depth understanding of the #UCC as well as additional requirements. Download our lending risk #mitigation infographic to learn more. https://ow.ly/EgiN50Sp3I8 #ComplianceSolutions #liensolutions #AssetProtection
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A spike in private credit lending is pushing banks out of billion-dollar deals and overshadowing subdued activity in the #PrivateEquity space. Learn why alternative lenders are gaining market share in today’s #investment landscape and how this growing divergence could reshape the credit market. https://ow.ly/FqmU50RYBll
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Perfecting your interest in loans requires an in-depth understanding of the #UCC as well as additional requirements. Download our lending risk #mitigation infographic to learn more. https://ow.ly/XQvW50RMTQV #ComplianceSolutions #liensolutions #AssetProtection
Perfect and protect your collateral
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Perfecting your interest in loans requires an in-depth understanding of the #UCC as well as additional requirements. Download our lending risk #mitigation infographic to learn more. https://ow.ly/xbnm50SXpVp #ComplianceSolutions #liensolutions #AssetProtection
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Perfecting your interest in loans requires an in-depth understanding of the #UCC as well as additional requirements. Download our lending risk #mitigation infographic to learn more. https://ow.ly/JP7650RMUuc #ComplianceSolutions #liensolutions #AssetProtection
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Vice President | Certified FRM | Credit Risk Manager with in-depth experience in Wholesale & Commercial Banking (17+ Years) | Skilled in Team Handling, Financial Modeling & Credit Underwriting.
Asset quality is one of the strong measures to check credit worthiness of any financial institution, especially the banks. But what to check in the asset quality? The top 5 things to check in asset qualities are: 1. The proportion of gross non-performing loans to total gross loans besides the trend of gross NPLs over the past 5 to 6 years. 2. The concentration of gross loans in terms of sectors, borrowers, tenure, etc. 3. Exposure %age to top 5 or 10 borrowers to total gross loans. 4. Loan loss reserve coverage ratio to gross NPLs and total gross loans. 5. Movement within NPLs over the years i.e., fresh accumulation, write-offs, and upgrades of NPLs to standard assets. #financialriskmanagement #Creditrisk #Management
