Private Matters for Portfolio Resilience

Access differentiated income and diversification through private credit.

ACCESS SPOTLIGHT BROCHURE
The Private Credit Opportunity What Sets Us Apart Navigating Private Credit Added Insights

INCOME BEYOND PUBLIC MARKETS​

Formerly the exclusive purview of institutions, access to private credit is expanding as commercial lending shifts from traditional banks to nonbank lenders. The $3 trillion asset class offers access to higher yield potential, structural safeguards, and an opportunity set insulated from public market volatility. No longer niche, private credit has become an integral allocation for investors seeking resilient and diversified sources of income.

A History of Outperformance

Private credit boasts a history of strong risk-adjusted returns featuring outperformance versus traditional fixed income and significantly less volatility.

Explore the Insights

Higher Inflation-Hedged Yields

With floating rates that act as a natural hedge against inflation, private credit typically offers investors higher yields than traditional fixed income.

Explore the Insights

Structural Safeguards Limit Risk

Negotiated directly, private credit typically emphasises senior loans prioritised for repayment, protected by covenants, and secured by borrower assets.

Explore the Insights

EXPANSIVE OPPORTUNITY SET

Private credit affords access to an expansive opportunity set with low correlations to public equity and bond markets, helping mitigate overall volatility.

Explore the Insights

FOCUSED ON QUALITY AND RESILIENCE

Supported by a $114 billion global platform, PGIM’s private credit approach combines more than 75 years of lending experience with a conservative, insurance‑based credit culture. PGIM has managed direct lending strategies since 2000, with a portfolio management team averaging 27 years of industry experience.

Differentiated origination 

Global access to lower and core middle‑market opportunities across both sponsored and non‑sponsored borrowers, supporting greater selectivity.

Conservative credit posture

100% first‑lien senior secured loans, maintenance covenants on all deals, and a focus on lower entry leverage.

Scale with alignment

 

Decades of private credit experience, significant platform scale, and aligned interests via meaningful investments alongside clients.

Navigating Private Credit with Confidence

As private credit plays a growing role in portfolios, understanding the fundamentals behind resilient outcomes is increasingly important. Explore the market dynamics and portfolio construction principles that can help investors assess opportunities across market cycles.

PRIVATE CREDIT REALITY CHECK: SEPARATING NOISE FROM FUNDAMENTALS

Direct lending is an inherently long-term pursuit offering investors stable, attractive income in exchange for their patience. Learn how emphasizing quality and avoiding compromise in portfolio construction can foster confidence amid shifting conditions.

WATCH NOW

The Three Building Blocks of Private Credit Resilience

What are the main characteristics of resilient private credit portfolios? Explore how diversification, cash flow sustainability, and manager experience can contribute to durable portfolios designed to navigate unpredictable market environments.

WATCH NOW

Past performance does not guarantee future results. Investors cannot invest directly in an index. There can be no assurance any alternative asset classes will achieve their objectives or avoid significant losses.

Source: PGIM, AUM & staffing as of 31 March 2026.

 

References to specific securities and their issuers are for illustrative purposes only and are not intended and should not be interpreted as recommendations to purchase or sell such securities. The securities referenced may or may not be held in the portfolio at the time of publication and, if such securities are held, no representation is being made that such securities will continue to be held.

The views expressed herein are those of PGIM investment professionals at the time the comments were made, may not be reflective of their current opinions, and are subject to change without notice. Neither the information contained herein nor any opinion expressed shall be construed to constitute investment advice or an offer to sell or a solicitation to buy any securities mentioned herein. Neither PFI, its affiliates, nor their licensed sales professionals render tax or legal advice. Clients should consult with their attorney, accountant, and/or tax professional for advice concerning their particular situation. Certain information in this commentary has been obtained from sources believed to be reliable as of the date presented; however, we cannot guarantee the accuracy of such information, assure its completeness, or warrant such information will not be changed. The information contained herein is current as of the date of issuance (or such earlier date as referenced herein) and is subject to change without notice. The manager has no obligation to update any or all such information; nor do we make any express or implied warranties or representations as to the completeness or accuracy.

Any projections or forecasts presented herein are subject to change without notice. Actual data will vary and may not be reflected here. Projections and forecasts are subject to high levels of uncertainty. Accordingly, any projections or forecasts should be viewed as merely representative of a broad range of possible outcomes. Projections or forecasts are estimated based on assumptions, subject to significant revision, and may change materially as economic and market conditions change.

 

5951946_PGIM