Key ideas from Michael Zawadzki

• Blackstone Credit manages over $500 billion in credit assets, with direct data center exposure representing only a small minority of their portfolio
• Private credit has delivered 20-year returns outperforming liquid credit by several hundred basis points with just 1% realized losses
• Morgan Stanley estimates $800 billion of private credit alone is needed to finance digital infrastructure buildout over the next five years
• Before 2021, only five billion-dollar-plus private credit deals were completed; since then, over 100 have been done with Blackstone leading most
• Investment grade private credit spreads offer 150-200 basis points excess over public IG spreads at 80 basis points
• Private equity dry powder outstrips private credit dry powder five to one, suggesting significant room for market growth
• Even deals meeting leverage lending guidelines over the last two years saw 85% financed privately rather than through banks