I make this statement without having done a lot of diligence on the financials, but I have been reluctant to add to my BN and BAM position recently due to concerns about private credit. My impression (I use that word because I haven't actually confirmed magnitude in the financials) is that a lot of their growth has come from raising capital to deploy into private credit opportunities. In particular, their extensive funding of data center build out. I have no doubt that things will look okay in the near term, justifying their increase in fee income driven by capital raising activity. I also believe BN to be very good at underwriting invesetment in long term infrastructure projects and how to write agreements that mitigate risk. Having said that, with the flood of capital into private credit for data centers, I have a muddled point of view about whether it makes sense to buy more of them during this flat period. It only takes Open AI to flub it to crater the medium term market I think.

Do you have any point of view on the question of exposure and risk to private credit? I have been tempted to buy more but I feel like I need to do more actual analysis work, which I haven't had time to do.