On trend: private debt financing in Germany

Private debt is curr­ently attrac­ting growing atten­tion as a form of finan­cing or invest­ment. Private debt in this context refers to the provi­sion of debt capi­tal prima­rily by insti­tu­tio­nal inves­tors outside the capi­tal market to compa­nies, most of which do not have an invest­ment grade rating. This type of debt is typi­cally illi­quid, priva­tely placed, unra­ted debt instru­ments that are usually not secu­ri­ti­zed as securities.