From Democratization to Diversification: The Core Middle Market’s Role in the Evolution of Private Credit
As private wealth investors build their alternative allocations, advisors are turning to the core middle market for valued diversification.
Steven Ruby and Rahman Vahabzadeh, Co-Heads of Originated Debt, Audax Private Debt
As alternative assets move ever closer to solving the democratization riddle, new questions surface every day, some of which may seem existential in nature. Where can managers deploy capital as fund flows increase? How will lenders keep pace to put more capital to work? And what structures are in place tomaintain underwriting discipline? The middle market—or more precisely, the core middle market—we believe, holds answers to each of these questions, while underscoring the important role of the segment as a destination for diversification.
