Private Credit Annual Report EOY 2025 (Bloomberg)

Summary

• More than 50% of private credit is in direct lending and 78% is domiciled in North America, as of Q3, 2025.p.4
• Average MOIC for private credit funds of 2017-2024 vintages is 1.07x, and fund count fell 21% through three quarters of 2025 compared with 2024.p.4
• Total fund size peaked in 2023 at roughly $330B, fell to about $145B in 2024 and an estimated $85B for 2025 YTD.p.5
• Global fundraising peaked in 2023 at over $330B, with North America contributing more than $250B that year.p.6
• Direct lending's share of private credit fundraising reached a cycle high of 59% in 2023 and 53% YTD in 2025.p.7
• Bloomberg Intelligence's Fall 2025 survey found private credit could capture 15% of the traditional fixed-income addressable market, 5 percentage points above the prior survey.p.12

Key insights

1. Fund count slid from approximately 255 funds in 2023 to about 200 in 2024 and just over 150 in 2025 YTD.p.5
2. Lower mid-market funds dominate, with the $100M - $250M group leading at roughly 475 funds.p.5
3. Mezzanine once accounted for more than a third of fundraising in 2016 but has declined materially in the most recent vintages.p.7
4. Real Estate has become increasingly prominent in recent vintages, peaking at 25% in 2025 YTD.p.7
5. Private Debt has been significantly outperformed by Buyout funds over the last decade.p.8
6. The Bloomberg Intelligence survey covered 140 participants across general partners, limited partners and bankers and lenders.p.13
7. 60% of fund managers and 70% of bankers and lenders said private credit can capture 2-5% of the $12 trillion US defined contribution plans.p.16