-

KBRA Releases Research – Private Credit Funds in Pictures: Safety in Numbers

NEW YORK--(BUSINESS WIRE)--KBRA releases research that examines the resilience of its ratings for fund finance structures and rated notes employed by middle market corporate lending funds.

Considering recent macroeconomic headwinds, the private credit industry is likely entering the most significant period of credit stress it has experienced since becoming an integral part of the U.S. and European corporate lending landscape. The impact of rising interest rates, the slowing global economy, inflation, and weaker private company valuations will likely present more sustained challenges to middle market borrowers and lenders, which could result in higher default rates.

However, KBRA-rated credit facilities, loans, and rated notes are well insulated from the credit impact of these challenges. The performance of middle market credit facilities and rated notes will be meaningfully protected through a combination of structural protections, disciplined underwriting, and comprehensive portfolio management.

Click here to view the report.

Related Publications

About KBRA
KBRA is a full-service credit rating agency registered in the U.S., the EU, and the UK, and is designated to provide structured finance ratings in Canada. KBRA’s ratings can be used by investors for regulatory capital purposes in multiple jurisdictions.

Contacts

David Dicker, CFA, Senior Director
+1 (646) 731-2449
david.dicker@kbra.com

Thomas Speller, Senior Director Head of European Funds
+44 20 8148 1025
thomas.speller@kbra.com

Gopal Narsimhamurthy, Managing Director, Head of North American Funds
+1 (646) 731-3392
gopal.narsimhamurthy@kbra.com

Pramit Sheth, Senior Managing Director
+1 (646) 731-2320
pramit.sheth@kbra.com

Business Development Contact

Shelby Vertula, Associate
+1 (646) 731-1229
shelby.vertula@kbra.com

Constantine Schidlovsky, Senior Director
+1 (646) 731-1338
constantine.schidlovsky@kbra.com

KBRA

Details
Headquarters: New York City, New York
CEO: Jim Nadler
Employees: 400+
Organization: PRI

Release Versions

Contacts

David Dicker, CFA, Senior Director
+1 (646) 731-2449
david.dicker@kbra.com

Thomas Speller, Senior Director Head of European Funds
+44 20 8148 1025
thomas.speller@kbra.com

Gopal Narsimhamurthy, Managing Director, Head of North American Funds
+1 (646) 731-3392
gopal.narsimhamurthy@kbra.com

Pramit Sheth, Senior Managing Director
+1 (646) 731-2320
pramit.sheth@kbra.com

Business Development Contact

Shelby Vertula, Associate
+1 (646) 731-1229
shelby.vertula@kbra.com

Constantine Schidlovsky, Senior Director
+1 (646) 731-1338
constantine.schidlovsky@kbra.com

More News From KBRA

KBRA Assigns Preliminary Ratings to ByzFunder Asset Securitization I, LLC, Series 2026-1

NEW YORK--(BUSINESS WIRE)--KBRA assigns preliminary ratings to three classes of notes (the “Notes”) issued by ByzFunder Asset Securitization I, LLC, Series 2026-1. ByzFunder NY LLC (“ByzFunder,” or the “Company”) is the Sponsor, Seller, and Servicer for ByzFunder Asset Securitization I, LLC, Series 2026-1. ByzFunder was founded in 2019 and is headquartered in New York, NY, with an additional office in Tampa, FL. The Company is a specialty finance company that provides working capital financing...

KBRA Assigns Rating to Frontline Insurance Reciprocal Exchange

NEW YORK--(BUSINESS WIRE)--KBRA assigns a BBB+ Insurance Financial Strength Rating (IFSR) to Frontline Insurance Reciprocal Exchange (“FIRE” or the “Exchange”). The Outlook for the rating is Stable. Key Credit Considerations FIRE is a newly formed Florida-domiciled reciprocal insurer established to write admitted Florida residential property business, primarily homeowners and fire/dwelling coverage. The rating reflects adequate initial capitalization and manageable projected underwriting levera...

KBRA Releases Research – European Data Centre Event—KBRA Event Recap

LONDON--(BUSINESS WIRE)--KBRA releases a recap of its European Data Centre Event in London on 20 May, bringing together sector experts, investors, issuers, operators, bankers, and other market participants for an afternoon of discussions on the key themes shaping the European data centre landscape. The programme focused on how artificial intelligence (AI)-driven demand, power availability, development constraints, evolving financing approaches, and investor underwriting considerations are influ...
Back to Newsroom