USA Trends and Developments Contributed by: Stelios G Saffos, Dan Seale, Peter Sluka and Alfred Xue, Latham & Watkins LLP
increase market volatility during economic stress. Ulti - mately, lenders and investors that combine partner - ships with long-term capital, flexible financing and back leverage with strong loan terms, proactive refi - nancing plans, and effective management strategies are more likely to succeed. Conclusion For borrowers and sponsors, the practical lesson of the moment is to approach private credit as a stra - tegic, multi‑year capital partnership rather than as consisting of single transactions – one that can inte - grate construction and term financing, align with rat - ings and capital constraints, and optimise flexibility across public and private options. For investors and managers, durable positive outcomes will hinge on sector specialisation, documentation enforceability, proactive portfolio management, and readiness to navigate refinancings and amendments as maturities approach. If 2025 proved that scale and speed matter, 2026 may test who can pair those advantages with discipline in a highly kinetic market.
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