Macquarie CFO Says Private Credit Angst Due to Liquidity Issues

Worries in the private credit market stem from retail-driven liquidity problems rather than the health of the underlining portfolio, according to Frank Kwok, Chief Financial Officer at Macquarie Group Ltd.

“It really has been an issue more of liquidity than underlying credit itself,” Kwok said in an interview. “Investors who have been typically more retail-like investors have pulled their money from these private credit funds and that’s caused a liquidity run, effectively.”