Let's talk Private Credit, bank runs and history repeating.
Private credit is debt financing provided by non-bank lenders directly to companies or projects through privately negotiated agreements.
In other words, enterprises which could not pass underwriting at a bank.
Companies like Morgan Stanley and Blackrock allow institutional investors to buy into the fund, i.e., pension funds, endowments, insurance companies etc.
Theoretically, investors can withdraw their capital....only, today...not so much. The moneylenders just capped how much of their own money the investors can have back right now.
How that cascades is yet to be seen, but if history is any guide, it probably won't be good.


