What Meet Kevin said in this video:
- Othernegative for stocksThe host argues that private credit and the debt market are starting to fall off a cliff. Many private credit companies have taken on debt and are selling for less than they are worth, so actual default levels are likely much higher than the reported 1% to 3% of deals; moreover, distressed payment-in-kind (PIK) deals are growing, and the private credit market is about $1.3 trillion, meaning the risk is understated.Source