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Does Private Credit Work in ETFs? `Absolutely Not,′ Says DoubleLine

Does Private Credit Work in ETFs? `Absolutely Not,′ Says DoubleLine

20 Mart 2026Bloomberg

🤖AI Özeti

DoubleLine's Sherman argues that private assets should not be included in open-ended ETFs, highlighting the inherent risks and illiquidity associated with such investments. He emphasizes that the structure of ETFs is not compatible with the characteristics of private credit. This stance raises important questions about the future of private credit in public markets.

💡AI Analizi

Sherman's assertion reflects a broader concern within the investment community regarding the suitability of private assets in liquid investment vehicles. The incompatibility between the liquidity needs of ETF investors and the illiquid nature of private credit could lead to significant market distortions. As the demand for alternative investments grows, it will be crucial for fund managers to navigate these complexities carefully.

📚Bağlam ve Tarihsel Perspektif

The rise of alternative investments, such as private credit, has led to discussions about their integration into more traditional investment structures like ETFs. However, the unique characteristics of private assets, including their illiquidity and valuation challenges, pose significant hurdles.

This summary is for informational purposes only and does not constitute financial advice.