00:00Catherine why has trading of private credit started to pick up in recent weeks. Well it's interesting because they've been
00:04pushing this initiative for a while to have sort of the secondaries market for private credit but it's really taken
00:09off this year and I think that really just underscores the stress in the market that we saw. You know
00:14investors were trying at the beginning of this year to get a much better sense on valuations and exposures to
00:20sectors that might be hit by you know the rise in AI and software. And so I think a lot
00:25of this is just driven by sort of the volatile market we've had for private credit this year.
00:30And how does their two billion dollars of trading compare with peers? I mean where does that put them? Yeah
00:35it's it's not a huge amount even by JP Morgan's own standards like in the broadly syndicated loan market they're
00:41they're doing about one billion a day. So like this is small for them right now. I think they are
00:47very optimistic though that this might increase and I think that that is partially driven by this desire from investors
00:53to have a little more transparency. You know obviously private credit is never going to be quite as transparent as
00:58public credit.
00:59But I do think you know there's been this push of like we have to be a little more up
01:03there with valuations and sort of forthcoming with how these assets are faring. And I think I think you know
01:09their optimism probably is founded.
01:11What have we seen in terms of pricing then? Well this is interesting because I do think you know there
01:16have been all these concerns about private credit. You know how is it faring? Is it going to actually hold
01:20up?
01:21And JP Morgan was telling us that they've seen most of these trade at 90 cents on the dollar. So
01:26I think that really reassures people that you know even though there has been a lot of turmoil and a
01:31lot of sort of stress in this market.
01:32It really hasn't yet affected a lot of the pricing that at least we're seeing so far.
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