In a new episode of “Apollo Answers,” Alexander Wright, Partner and Global Wealth Strategist at the Firm, explains Payment in Kind (PIK), an interesting and sometimes controversial feature of credit markets, especially private credit. He explores how the various types of PIK stack across the risk spectrum and illustrates how it can impact credit portfolios.
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Listen to Torsten Sløk, Apollo’s Chief Economist and John Cortese, Partner and Global Head of trading at the Firm, explore a lesser-known area of private credit—Investment Grade Private Credit, aka Private IG.

Credit markets are entering 2025 in a solid position. Although risks may appear one-sided given spreads are near multi-year tights, we expect the fundamental and technical backdrop to remain strong.

Market participants often ask why large corporate borrowers would choose a private solution for financing rather than the public markets, especially in the current environment. In this paper, we answer that question and explore the lasting power of private credit, the landscape of the debt markets, potential opportunities, and pitfalls to avoid.