July 6, 2026
Insights from a recent conversation with Marc Scheipe (CEO, Allvue), David Little (Global Head of Asset Management, Moody’s Analytics), and Dmitri Sedov (Chief Data & Analytics Officer, Allvue)
The headlines around private credit are loud. The data tells a quieter story.
At a recent Allvue client event, three industry leaders sat down to separate signal from noise — on the state of private credit, what LPs are really demanding, and how AI is reshaping the work. A few things stood out.
The asset class is healthier than the press suggests. Default rates are within historical norms. Underlying company performance is solid. The anxiety in the market is real, but it’s being fed by opacity, not by fundamentals. Marc Scheipe noted that the people closest to the day-to-day reality of these portfolios tend to feel far less concerned than the headlines would suggest.
Opacity is the core problem — and a solvable one. Most direct corporate loans go unrated not because investors don’t care about credit risk, but because the infrastructure to assess it at scale hasn’t existed. The Allvue–Moody’s Analytics partnership is designed to change that: combining Allvue’s aggregated portfolio data with Moody’s EDFX modeling framework to produce credit risk scores that map to the familiar rating scale. A common language for private credit risk, built from actual market data.
Transparency isn’t just a regulatory checkbox — it unlocks liquidity. With new and more diverse capital entering private markets, the bar for LP reporting and secondary market activity is rising fast. Scheipe framed the point simply: without transparency, there’s no real basis for liquidity, since buyers need visibility into what they’re purchasing before they’ll commit capital.
AI is real, but keep it grounded. The pace of model development is genuinely unprecedented — Allvue had to revisit significant portions of its product roadmap this year alone. But the most important lesson from organizations actually building with AI is straightforward: break complex tasks into small, checkable steps and keep humans in the loop. The firms getting the most value aren’t the ones asking the biggest questions. They’re the ones designing the most disciplined workflows.
To learn more about the Allvue–Moody’s Analytics credit risk partnership, reach out to your Allvue account manager.
