Mathieu Chabran 1.9 1 idea

Tikehau Capital is launching a $1B secondary fund to buy private credit assets at discounts (trading around 85 cents on the dollar). While public markets fear a "bubble" in private credit (UBS/Dimon warnings), the secondary market offers an arbitrage opportunity to buy performing loans at distressed prices from liquidity-constrained LPs (pensions/insurers rebalancing). WATCH. Smart money is becoming the "liquidity provider" rather than the originator, signaling a shift in where the profit lies in this asset class. Default rates spike above the priced-in discount due to economic recession.