LP appetite strong, but some concerns are voiced

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Inflation and high valuations are among the factors making investors a little more uncomfortable than normal about private credit’s prospects.

The release of our annual LP Perspectives study is a chance to probe LPs on their allocation strategies for the private debt market over the next 12 months. Year after year the story has been one of increased appetite for credit strategies and the chart above shows how, in 2021, this translated into an upsurge in fundraising for the asset class.