Foreword

Since the global financial crisis, private lending has become an increasingly prevalent part of institutional and retail portfolios across Canada, as investors seeking high-yielding investments continue to face low interest rates and compressed credit spreads on corporate debt versus comparable-term federal and provincial offerings. In this publication, we provide an overview of private lending and some of the most common forms that it takes. Our goal is to provide enough information so that investors and their advisors develop a better understanding of this important fixed-income strategy. We would like to thank the CAASA Fund Investment Risk Methodology (FIRM) Group, the CAASA Private Lending Group, and each of our sponsors for their important contributions to this work. […]