<description>&lt;p&gt;In this new episode of the &lt;strong&gt;Paper Trail Podcast&lt;/strong&gt;, Chris Seveney breaks down the growing stress in private credit and draws a clear distinction between corporate direct lending and asset-backed mortgage note investing.&lt;/p&gt;&lt;p&gt;Chris Seveney walks through what is actually happening beneath the headlines, why parts of the market are showing strain, and how structural differences in collateral, underwriting, and resolution paths can lead to very different outcomes.&lt;/p&gt;&lt;p&gt;&lt;strong&gt;Episode Timeline&lt;/strong&gt;&lt;/p&gt;&lt;p&gt;00:00 Overview of recent developments in private credit markets&lt;/p&gt;&lt;p&gt; 01:10 Definition and structure of private credit&lt;/p&gt;&lt;p&gt; 03:03 Factors contributing to current market stress&lt;/p&gt;&lt;p&gt; 04:52 Structural differences in note investing approaches&lt;/p&gt;&lt;p&gt; 06:20 Role of asset-backed collateral in credit strategies&lt;/p&gt;&lt;p&gt; 09:12 Observations on tech-enabled real estate lender activity&lt;/p&gt;&lt;p&gt; 13:24 Considerations when evaluating loan pools&lt;/p&gt;&lt;p&gt; 14:18 Summary of key discussion points&lt;/p&gt;&lt;p&gt; 16:09 Additional resources and closing remarks&lt;/p&gt;</description>

The Paper Trail

Chris Seveney

355 | Private Credit Is Cracking, Here’s Why We’re Not In That Trade

MAR 25, 202618 MIN
The Paper Trail

355 | Private Credit Is Cracking, Here’s Why We’re Not In That Trade

MAR 25, 202618 MIN

Description

In this new episode of the Paper Trail Podcast, Chris Seveney breaks down the growing stress in private credit and draws a clear distinction between corporate direct lending and asset-backed mortgage note investing.Chris Seveney walks through what is actually happening beneath the headlines, why parts of the market are showing strain, and how structural differences in collateral, underwriting, and resolution paths can lead to very different outcomes.Episode Timeline00:00 Overview of recent developments in private credit markets 01:10 Definition and structure of private credit 03:03 Factors contributing to current market stress 04:52 Structural differences in note investing approaches 06:20 Role of asset-backed collateral in credit strategies 09:12 Observations on tech-enabled real estate lender activity 13:24 Considerations when evaluating loan pools 14:18 Summary of key discussion points 16:09 Additional resources and closing remarks