Apollo’s Pricing Plan Will Transform Private Credit

Apollo Global Management Inc. announced last week that it will soon provide daily pricing for its private credit. It may not sound like a big move, but its decision to lift the veil on these assets could be the most impactful development in financial markets and investing in a long time.

The private asset giant’s commitment presumably means that its daily prices will account for the myriad market forces that inform the value of all corporate debt, notably interest rate moves and changes in credit spreads, rather than merely quoting the same daily price for months or years. The latest artificial intelligence should make quick work of that, which may explain the timing.