Private markets have grown exponentially over the last decade. With so much volatility in the banking industry, investors have turned to private lending firms. Blue Owl Capital Co-CEO Marc Lipschultz (OWL) sits down with Yahoo Finance to explain the recent trend in investment management. When asked about motivation behind the change Lipschultz explained “the banks in the U.S., regional banks included,...made largely a decision not to really be lenders to these companies.... what might be considered sort of smaller companies."
When pressed with concerns over the private market, Lipschultz revealed numbers from Blue Owl Capital to alleviate those concerns. “We have lent $75 billion since inception, and you know what our loss rate has been? Annualized at six basis points. In our software business, which is our biggest area, our specialty, we've never had a loss in one of those loans" Lipschultz says.
