‘Democratising’ private credit at your own peril

If private credit survives a similar test the next time the United States economy enters a down cycle, then “democratisation” of the asset class may become a worthwhile endeavor. — Reuters

FORMER US President Ronald Reagan famously said that the nine scariest words in the English language are, “I’m from the government, and I’m here to help.”

That warning may prove prescient in connection with federal agencies’ efforts to open up the private credit market to individual investors’ retirement savings.