Kroll and StepStone Launch Payment-in-Kind Indicators for Private Credit Benchmarks

Michael H. Dolan, President of Financial Advisory at Kroll

“Private credit and private capital markets have demonstrated relatively solid fundamentals, despite a prolonged period of higher borrowing costs and economic uncertainty.”

Michael H. Dolan, President of Financial Advisory at Kroll

“PIK is an important part of understanding what is happening beneath headline returns in private credit; the distinction between interest paid in cash and interest added to debt matters when assessing liquidity, leverage, credit quality and ultimately value.”

Michael H. Dolan, President of Financial Advisory at Kroll

“Operating at the intersection of value, risk and transactions gives Kroll a unique perspective on these dynamics. As private markets continue to grow and become increasingly complex, independent data, analysis and expertise become more important in distinguishing isolated pressure from broader market trends, bringing greater clarity and peace of mind to investors.”

Marcel Schindler, Partner and Head of Private Debt at StepStone Group

“The growth and evolution of private credit have created a more diverse market, making it increasingly valuable to understand how financing structures are changing alongside it.”

Marcel Schindler, Partner and Head of Private Debt at StepStone Group

“Greater visibility into PIK activity across markets, sectors and borrower sizes provides another dimension for assessing market dynamics, comparing opportunities and understanding how portfolios are evolving over time.”