Craig Packer’s Post

While traveling earlier this month, I had the chance to sit down with Fiona Kenyon on the Julius Baer “Beyond Markets” podcast to discuss the how the direct lending market is expanding and improving, offering significant opportunities for both investors and borrowers. We covered everything from defining the broader private credit asset class to the challenges and opportunities presented in today’s market environment.   Tune in here.

Blue Owl Capital Private Wealth recently got together for their Global Sales Meeting, which brought all members of the global private wealth team under one roof for two days of jam-packed programming. Keeping in line with the F1 Racing theme of “Drive to Thrive,” I spoke to the acceleration of the direct lending market and my confidence in our product & our process, two of the many things that I believe make our team well positioned to lap our competition.   Thank you to Sean Connor and the Private Wealth team for having me, and for all you do to fuel our industry-leading business.

My latest trip overseas took me back to Europe for a packed week with members of the Blue Owl team, clients, and key partners in the UK, Switzerland, and Germany. It’s always a pleasure to spend time with the team and to see firsthand the continued growth and expansion of our presence in the region as we’ve recently announced key hires focused on expanding our reach in London, the DACH region, BeNeLux and the Nordics. We will continue to add additional resources during the remainder of 2024 and 2025 to better partner with existing and prospective clients.

Started off my latest trip across the pond strong! Had the pleasure of speaking at a Local Government Pension Scheme Investment dinner with our partners at Crispin Derby Ltd. Thanks to those who joined us for an evening of insights and lively discussion - I enjoyed sharing my perspective on the current market environment and hearing from the audience on what is top of mind for them, including how to access incremental yield within their credit allocation while maintaining high underwriting standards. I look forward to continuing these conversations on future trips.

At Blue Owl, building strong, lasting partnerships with the businesses we support is essential. Our 3rd Annual CFO Forum brought together CFOs from our portfolio companies for a day of expert presentations, market insights, and engaging discussions. A key theme this year was resilience — resilience both in our companies who need to respond to ever-changing market conditions, as well as in our CFOs, who are being asked to do more personally to drive their organization’s success.   Each year I appreciate the opportunity to talk with our CFOs and hear what’s top of mind for them – this year was no different. Thank you to all who joined us, and to all of our portfolio company CFOs for trusting us as your lender in achieving your business goals. Many thanks to Susan David, Ph.D. and James Bullard for joining us as keynote speakers.

I'm pleased to announce that our two public BDCs, OBDC and OBDE, had strong starts to the year, delivering another quarter of record NAVs per share. Across both funds, we delivered an annualized dividend yield over 10%, which we believe is especially attractive for portfolios of predominantly first lien loans. This performance reflects our continued focus on credit selection, which remains unwavering.    Grateful for the support of our team and our shareholders.

I recently had the opportunity to join RBC Capital Markets “Innovators and Ideas” podcast where we discussed Blue Owl’s differentiated approach to the alternatives landscape and how we seek to deliver consistent income-generating products for wealth and institutional investors alike. As the asset class, and our Blue Owl business, continue to expand – I am optimistic about the growing opportunity and the exciting future for private credit. Thank you to Joe Coletti for having me, and to RBC for the continued partnership. https://lnkd.in/eubiRX_3

Great time coming back on Bloomberg TV to discuss private credit with Sonali Basak. We hit on several key themes that are top of mind, including the impact of higher for longer interest rates and deal activity across the market today. Overall, the asset class continues to deliver strong performance and I believe our credit business is well-positioned to meet the needs of both our investors and our borrowers. 

After releasing our 2024 Market Outlook earlier this year, Sean Connor and I sat down to discuss the key trends in the credit markets and our outlook on the long-term role that private credit will play. Even as expectations for rates remain a moving target, we believe the asset class has proven its resilience in many economic environments and should continue to do so.