Preqin 2025 Global Report: Private Debt

Fundraising began to recover after a challenging first quarter in 2024, but full-year levels are expected to fall short of those seen in 2023.

• Direct lending continues to be the most favored major strategy among investors, but there has been a pullback in sentiment compared with the same time 12 months ago

• Regulatory changes for banks may create opportunities for private debt to expand in new loan markets, such as asset-backed lending, trade finance, and significant risk transfers

• Weaker fundraising is putting pressure on direct lending fees, with this likely to continue until fundraising is forecast to improve in 2026