Crescent Sees Danger From Private Credit’s Wealth Push (Correct)

Growing enthusiasm for private credit among wealthy retail investors could create problems in the $1.7 trillion market without some restrictions on how quickly their money can move in and out, Crescent Capital Group’s Chris Wright said.

“That money now comes in and sits in your pocket the day that that commitment is made and you have to put it to work,” Wright, Crescent’s head of private markets, said at a Bloomberg hedge fund event in Los Angeles. “So my fear is that as this capital comes in, there is a different push to deploy it because it creates that ...