Alternative Fund Advisors Releases RIA Private Credit Usage Study, Confirming Continued Growth in the Asset Class
- Editor
- Apr 3
- 1 min read
Whats Happening:
Alternative Fund Advisors (AFA) has released findings from its RIA Private Credit Usage Study, revealing that 80% of registered investment advisors (RIAs) already allocate to private credit or plan to make their first investment in 2025. The study shows growing adoption of private credit among RIAs, with 45% allocating more than 5% of a typical client portfolio to the asset class.
Key Moves:
80% of RIAs already allocate or plan to allocate to private credit in 2025
45% of firms allocate more than 5% of a typical client portfolio to private credit
82% of firms plan to increase allocations, with many adding new funds
By The Numbers:
80% of RIAs allocate or plan to allocate to private credit in 2025
45% of firms allocate more than 5% of client portfolios to private credit
AFA Asset Based Lending Fund has $240 million in assets
Key Quotes:
"We believe the importance of private credit in client portfolios will only increase in 2025 and beyond," said Marco Hanig, CEO and co-founder of Alternative Fund Advisors.
"Our survey findings validated a trend that we're seeing in the market—firms have moved beyond owning a single private credit fund. They are now utilizing multiple funds and intentionally diversifying across various sub-segments of the market."
Bottom Line:
The AFA study confirms the growing importance of private credit in RIA portfolios, with a majority of firms already allocating to the asset class or planning to do so in 2025. The trend shows not only increased adoption but also a more sophisticated approach, with RIAs diversifying across multiple funds and sub-segments of the private credit market.
Comments