Pimco Says Daily Marks Fail to Clarify $1.8 Trillion Private Credit Market

2 articles · Updated · Bloomberg · May 11

Lotfi Karoui said more frequent pricing of private assets does little to improve transparency or accuracy in the $1.8 trillion private credit market.
Pimco argued daily marks cannot solve the market’s core problem—limited true price discovery—so they risk creating only the appearance of better liquidity.
Karoui said efforts to make private assets easier to trade are welcome, but structural constraints still prevent investors from buying or selling quickly at prices that reflect fundamentals.

Is daily pricing a fix for private credit's opacity, or just a dangerous illusion of liquidity?

As private credit faces its first major test, are investors about to discover a decade of hidden risk?