Challenges of private credit
However, this key segment of the investment management industry, also presents a range of challenges. Private credit remains a relatively illiquid physical loan investment. Fund managers require specialised systems and operational knowledge that support different credit strategies and instruments.
In this young and growing industry, the operational infrastructure is still maturing. This is particularly the case for private credit managers’ loan administration capabilities.
Our research on the loan administration function
BNP Paribas, an established partner to some of the world’s leading private credit funds, and the Alternative Credit Council, the global representative of the private credit industry, invited clients and members to share their views on the challenges they face when administering loans.
We also explored the operational infrastructure required to support this function.
We are delighted to share the results of the survey with you, and we hope that the findings will inform you as you strive to implement the optimal operational model for your private credit fund.
Download the research paper: