Masters in Business · Friday, September 11, 2026
Seth Bernstein discussed the growing role of private credit, driven by bank constraints, and its increasing accessibility to individuals through wealth management and retirement accounts. He believes private credit will become a significant part of institutional portfolios over the next decade.
“Banks are constrained in their ability to continue to service through loans their clients. They've been that way structurally certainly since the financial crisis and even before that.”
“I think actually, target date funds, 401ks generally might be a perfectly appropriate place for it.”
“But the truth of the matter is, while there will be loans that go bad, I think most of these funds will be pretty fine at the end of the day.”