JPMorgan Picks Partners to Boost Its Reach in Private Credit

JPMorgan Chase & Co. has agreed to partner with Cliffwater, FS Investmentsand Shenkman Capital Management Inc. in an effort to broaden its reach in the $1.7 trillion private credit market, according to people with knowledge of the matter.

As part of the arrangement, the bank will originate loans and invest in them alongside the direct lenders, who can only decline to participate in a handful of transactions over a pre-determined period of time, said the people, who asked not to be named discussing confidential information.

Representatives for JPMorgan, Cliffwater and Shenkman declined to comment. A representative for FS ...