This episode is sponsored by Castlelake

Asset-based finance (ABF) is widely considered to be the next big investment opportunity in private credit. Though not a new concept, it has recently attracted growing attention from institutional investors looking to diversify their credit portfolios beyond traditional corporate direct lending.

However, the breadth and complexity of the asset class require a closer look: understanding the nuances around origination, structuring, risk management and data feedback loops can help investors sift through the capital and new entrants moving into the space.

In this episode, Isaiah Toback, deputy co-chief investment officer at Castlelake, explains what investors should look for beneath the ABF label.

As fund managers and investors attempt to achieve diversification as a means to hedge themselves against emerging stresses in direct lending portfolios, is the nature of risk in strategies such as asset-based finance fully appreciated? This was one of the talking points at the New York Forum 2026, which forms part of a discussion in this episode between PEI Private Credit's Andy Thomson, Robin Blumenthal and Sergio Padilla.

Other key topics considered here: How is AI changing fund manager processes and allocation considerations? Which areas of the market are becoming the most competitive? And what are the key dynamics in rising strategies like opportunistic credit and secondaries?

This episode is sponsored by Arrow Global

As the private credit industry continues to grow at a rapid pace, so too does the opportunity set for the asset class when it comes to finding new ways of attracting LP capital. One region that is predicted to benefit from an influx of investor interest is Europe. PEI Private Credit’s LP Perspectives 2026 Study found that 42 percent of LPs surveyed intended to invest more in Western Europe over the course of this year.

But investing there is no simple task. The continent’s fragmented regulatory and legal frameworks – not to mention its distinct cultural differences – mean that a nuanced approach is required to put investor capital to best use.

In this episode, we speak with Zach Lewy, founder, CEO and chief investment officer of Arrow Global, to find out more about the strategies and sectors that hold the most interest for the firm in the region. We also discuss how ongoing macroeconomic uncertainty – combined with increasing use of artificial intelligence technologies – will throw up opportunities and challenges alike over the coming months.