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The Private Credit Revolution

Breaking News for Modern Brokers

Total Market Size (AUM)

A$224 Billion
9% Year-on-Year Growth

Market Growth Comparison

Traditional Banks (CAGR) 5%
Mature
Private Credit (CAGR) 20%
Rapid Expansion

Corporate Lending

$132bn

14% Share

Comm. Real Estate

$92bn

18% Share

Why Is This Happening?

Institutional Capital

Insurers and Super Funds are hunting for yield and liability-matching assets.

The ADI Retreat

Basel regulations and algorithmic scoring force banks to reject complex borrowers.

Market Maturation

Consolidation of managers increases governance and reduces reputational risk.

Product Innovation

Moving beyond distress lending into growth capital and prime-alt solutions.

Regulatory Cliff

Feb 1, 2026

APRA DTI Limit

Macroprudential

ADIs capped at 20% of new loans with Debt-to-Income ratio ≥ 6x.

The Opportunity

  • Investors displaced from banks migrate to specialist lenders.
  • Clear regulatory arbitrage for non-bank solutions.

Specialist Solutions

Three players redefining access.

Resimac

90% LVR

Prime Alt Doc

  • Capitalized Risk Fee
  • 6 Month BAS

Liberty

Custom

Life Event

  • Ignore Score
  • Assess the Event

PMA

No-Doc

Commercial

  • 5-Day Settlement
  • Asset Based

The "Credit Rehab" Strategy

1

Triage

Place in Specialist Product

2

Rehab

12-24 Months Conduct

3

Graduate

Refinance to Prime

Source: Alvarez & Marsal Private Debt Report 2025

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