Public Bonds Are Booming. Why Is Private Credit Flashing Distress?

Core Insights - Lower interest rates have led to an increase in corporate bond sales, indicating a favorable environment for bond issuance [1] - However, the rise in bankruptcies suggests underlying issues within the private credit sector, particularly concerning bank loans and closed-end funds [1] Group 1 - The sales of corporate bonds have been spurred by lower interest rates, reflecting a positive trend in the bond market [1] - The increase in bankruptcies serves as a warning sign, highlighting potential risks in the private credit market [1]