The Private Credit Boom is Over: Redemption Requests Exceed Liquidity | James Elbaor | Marlton LLC
James Elbaor, Founder and Portfolio Manager at Marlton LLC joins OPM to discuss why the private credit boom is officially over. Elbaor explains how artificial intelligence is threatening the SaaS businesses that make up over half a trillion dollars of private credit exposure, while also detailing how liquidity gates are currently trapping investors in massive interval funds like BCRED. The discussion concludes by exploring lucrative upcoming merger opportunities in the public BDC space and analyzing why asset managers utilizing permanent capital vehicles are being rewarded with premium market multiples.
Try model portfolios available on Plutus and get a 45-day fee waiver when you signup with code OPM45: https://runplutus.com/mm-opm/login
Follow James on X: https://x.com/jameselbaor
Follow Max on X: https://x.com/maxwiethe
Follow Other People’s Money on:
Apple Podcast https://bit.ly/4e7QJ1M
Spotify https://bit.ly/3Yhaazi
YouTube https://bit.ly/3C63VXR
X https://x.com/opmpod
JFMW Partners LLC (“Promoter”) is providing this endorsement of, and information related to, the advisory services offered by Namsoft Advisors LLC ("Namsoft"). Promoter is not a current client or investor in any Namsoft advisory account or private fund. Promoter receives cash compensation from Namsoft in the form of a flat referral fee of $750 for each client that engages Namsoft as a result of Promoter's promotional activities. Because Promoter is compensated for this endorsement, a material conflict of interest exists, as Promoter has a financial incentive to promote Namsoft's services to you. This endorsement is delivered as part of a podcast or other audio program produced by Promoter and does not constitute investment advice or a recommendation that any particular advisory arrangement is suitable for you.
Timestamps:
00:00 Intro
01:42 Private Credit Redemptions Continue
07:03 IPO Window Shuts & Credit Fund M&A
15:28 AI Threat to SaaS Borrowers
16:51 Sponsor Message Plutus
18:17 Private Credit vs Private Equity
24:25 Systemic Risk and Wrappers
29:15 Public vs Private BDC Gap
34:46 Why Interval Funds List
39:44 Alt Managers Valuation Reset
43:33 Permanent Capital Explained
50:17 Hedge Funds vs Private Equity
54:41 Pershing Square Liquidity
01:04:17 Conclusion
Try model portfolios available on Plutus and get a 45-day fee waiver when you signup with code OPM45: https://runplutus.com/mm-opm/login
Follow James on X: https://x.com/jameselbaor
Follow Max on X: https://x.com/maxwiethe
Follow Other People’s Money on:
Apple Podcast https://bit.ly/4e7QJ1M
Spotify https://bit.ly/3Yhaazi
YouTube https://bit.ly/3C63VXR
X https://x.com/opmpod
JFMW Partners LLC (“Promoter”) is providing this endorsement of, and information related to, the advisory services offered by Namsoft Advisors LLC ("Namsoft"). Promoter is not a current client or investor in any Namsoft advisory account or private fund. Promoter receives cash compensation from Namsoft in the form of a flat referral fee of $750 for each client that engages Namsoft as a result of Promoter's promotional activities. Because Promoter is compensated for this endorsement, a material conflict of interest exists, as Promoter has a financial incentive to promote Namsoft's services to you. This endorsement is delivered as part of a podcast or other audio program produced by Promoter and does not constitute investment advice or a recommendation that any particular advisory arrangement is suitable for you.
Timestamps:
00:00 Intro
01:42 Private Credit Redemptions Continue
07:03 IPO Window Shuts & Credit Fund M&A
15:28 AI Threat to SaaS Borrowers
16:51 Sponsor Message Plutus
18:17 Private Credit vs Private Equity
24:25 Systemic Risk and Wrappers
29:15 Public vs Private BDC Gap
34:46 Why Interval Funds List
39:44 Alt Managers Valuation Reset
43:33 Permanent Capital Explained
50:17 Hedge Funds vs Private Equity
54:41 Pershing Square Liquidity
01:04:17 Conclusion
Loading content...
Read the full transcript
Matterfact has every podcast on Apple Podcasts and Spotify: 700K+ channels, 120M+ episodes.
The candid version is on a podcast,
not the earnings call.
Matterfact turns the conversations your coverage is already having into a searchable, citable record — across every episode, not just this one.