As private credit investors navigate an increasingly complex landscape marked by geopolitical instability, supply chain disruptions, and shifting borrower quality, the Stockholm-based firm PCP is highlighting the benefits of its non-sponsored lending model. By acting as the sole lender and maintaining strict control through financial and operational covenants, the firm aims to mitigate risks and intervene early when challenges arise. This hands-on approach, refined over two decades of market cycles, is now supported by M&G Investments, which acquired a majority stake in PCP in mid-2025. The firm reports that its strategy of prioritizing conservative leverage and direct origination has historically delivered consistent returns, with gross unlevered internal rates of return around 10%. PCP maintains that its model offers investors a compelling balance of lower risk and competitive yields by focusing on capital scarcity and direct oversight.
Source : The Korea Economic Daily
