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Bailey McCann, Opalesque New York:

New data from AIMA's Private Credit Council shows that investors are still largely pleased with private credit as an asset class despite some initial pandemic related caution.

84% of investors surveyed were satisfied with how private credit performed in the first half of this year. And, 37% of investors plan to increase their allocations to private credit in the second half of this year.

"Ongoing economic uncertainty and the low interest rate environment are reducing the appeal of traditional fixed income assets," says Tom Kehoe, global head of research and communications at AIMA. "This is driving allocators towards private credit assets that can generate income, while also offering them diversification and a hedge against ongoing economic disruption."

As for where investors plan to make new allocations - specialty finance vehicles and co-investments are topping the list. 47% of investors said they planned to consider co-investments in the second half of this year, followed by 42% of investors that said they planned to take a closer look at specialty finance vehicles. Eastern Europe and APAC are two geographies attracting investors that are interested in specialty finance.

According to the report, the pandemic has actually made it more appealing to invest in private credit - not less. Investors that were concerned about the relative newness of private credit as an asset class are considering new allocations now that t......................

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