Global private credit markets remain fundamentally sound, and Asia stands out as the next major growth frontier, according to Jeffrey Hawkins, Bain Capital’s Deputy Managing Partner for Credit and Special Situations.
“There’s nothing systemically wrong with the market — though it’s a little frothy,” Hawkins said in Hong Kong at the Global Financial Leaders’ Summit.
“The real concern isn’t credit quality, but the speed of deployment and reduced diligence as new capital rushes in.”
🔹 Key Takeaways
- Despite recent high-profile defaults in the U.S., Bain sees no structural weakness in the private credit system.
- Insurance investors remain stable — their long-term funding means limited exposure to liquidity mismatches.
- Bain focuses on mid-market lending, where spread compression is less severe due to lower competition.
- With $58B in credit AUM, Bain is actively raising new funds, including an Asia direct lending vehicle and its third Asia special situations fund.
🌏 Asia: The Clear Global Growth Leader
“Relative to the U.S. and Europe, the clear winner globally — from a growth perspective — is Asia,” Hawkins said.
Asia’s limited access to traditional bank financing is driving structural demand for direct lending and hybrid capital solutions.
Bain is particularly active in Australia and India, positioning itself to capture this expansion.
💡 The Bigger Picture
Private credit continues to evolve from niche strategy to mainstream global asset class, with Asia emerging as the epicenter of the next growth cycle.
The combination of strong demand, disciplined underwriting, and capital flexibility is shaping a new era for alternative lending.
In an environment of liquidity shifts and bank retrenchment, Asia’s private credit wave may define the next decade.