KKR appears well-positioned to handle growing private credit fears because direct lending accounts for only $39 billion of its $758 billion in total assets under management. The firm focuses on lower-risk senior-secured, first-lien direct lending and collateralized asset-backed financing loans, with software representing just 5% of its credit portfolio. Every current vintage of KKR’s credit funds is delivering returns significantly above benchmarks, driving strong inflows even as other funds face redemption pressures. Over the past year, KKR’s stock has lost more than a third of its value amid sector concerns, but the company generated $4.6 billion in adjusted net income over the last twelve months with only a small portion from direct lending.
KKR & Co. Inc.KKR's low direct lending exposure and strong fund performance position it favorably amid sector turmoil.
NVIDIA Corporation