You know, there are places that you're, you like, and is there anything you're cautious on?

Yeah.

Listen, you could do an entire podcast on SaaSpocalypse and the recent AI doom, so it's definitely something that's worth unpacking and worth thinking a little bit more about.

And you know, listen, we've spent a lot of time on it over the course of the past year, whether that's with our portfolio companies, with the private equity sponsors, or internally with some of our internal resources.

I guess if I were to unpack it for an investor within the private credit ecosystem, there's three or four really critical things that we've come to.

The first is, and I think this is an important starting point, which is the current performance has had very little impact in terms of deterioration from AI, and I think that's good news, right? But that really is the starting point, 'cause not surprisingly, every investor should be looking at the next 12 months or the next two or three years.

But starting from a very solid base of actually continually growing businesses that are generating more cash flow and really more stability.

So what impact has that had on how you position your portfolios, and does it require a different framework?

Could you help our listeners understand why that has been the case and perhaps take some time to go through some of the regulatory changes that occurred during the financial crisis that has led this to the reality that we have today?

Yeah, sure.

I mean, there's naturally over the course of the past 20, 25 years, there's been a fair amount of change in the ecosystem.

I guess there's probably three trends that are probably worth articulating.

The first is just the growth of the demand.

So the vast majority of what we're doing is lending to private equity backed companies.

So private equity has grown significantly over the course of the past 20 plus years.

Why do institutional investors continue to allocate here when they have other opportunities, including leveraged loans or the high-yield debt market?