From financialnewswire.com.au: SQM Research has placed the private credit sector on ‘watch’ due to increasing issues such as dubious marketing strategies by advisers and lack of transparency in fund operations.

The firm has screened out approximately 20 fund offerings, primarily in wholesale, as part of this precautionary measure.

Concerns include questionable asset categorisation, elevated loan-to-value ratios, and a mismatch between stated and underlying asset liquidity.