Apollo believes Investment Grade Private Credit (Private IG) is a growing part of the credit market that has the potential to generate attractive risk-adjusted returns but has been overlooked because it doesn’t fit neatly into the current asset allocation framework.

Explore the potential role of private markets in diversifying portfolios against a backdrop of heightened risks in public equity and bond markets.

The US economy remains strong going into 2025. We see interest rates staying higher for longer as inflation remains above target, employment strong, and spending robust.

Credit markets are entering 2025 in a solid position. Although risks may appear one-sided given spreads are near multi-year tights, we expect the fundamental and technical backdrop to remain strong.