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The sector has been under scrutiny after a period of rapid growth. Even ASIC, a critic, says it’s an important part of the economy – but it needs standards.

Private credit funds have improved disclosures, governance processes and due diligence – but only in response to criticism from regulators and investors, analysts say. Bethany Rae

Private credit has emerged as one of the biggest winners of the post-pandemic investment boom. Private lenders stepped in to fill a gap left by retreating banks, promising both capital stability and returns well above cash and term deposits. Those offerings have attracted yield-hungry investors, turning the sector into a multitrillion-dollar asset class globally.