Private Credit Defaults Explode Into Public Markets

#finance
#financement

So, Fitch just reported a record high for private credit defaults. That would seem to validate what most people think, that the credit downturn is contained inside just private credit.

That is understandable. The most visible warnings have come from there: the record defaults, rising non-accruals, restricted withdrawals, weaker fundraising, and falling business-development-company stocks.

But the word “private” is becoming dangerously misleading.