Alec (Ren)

The software disruption that we're seeing in public markets because of Anthropic and Claude Code is also affecting a lot of the borrowers, the software names in private markets as well in the US.

Seems different over here.

What you were saying before is that a lot of private credit is going to commercial and residential construction loans.

So is the big risk in Australian private credit, the Australian housing bubble, falls 20%?

Is that the risk that you're most worried about?

I'd love to follow up on what you mentioned there about stepping into a bad deal, because that's probably not something that we hear a lot about.

So when the inevitable happens and a deal goes bad, then, you know, in some cases, private credit managers have to step in and essentially run a business.

I think we saw that with Rockpool, the upmarket restaurant in Sydney.

You know, in your space, can you give us an example of like where you guys have had to step in and how you've kind of right-sized something that might've gone wrong?

Yeah.

Yeah, do you finish the construction job?

So that was what you should look for.

I guess on the flip side, what are some red flags?

If people are navigating the world of private credit funds, thinking about where they might want to put their money, what are the things that you're saying should be an instant red flag that you might see from different managers?

A lack of skin in the game.

What's the best investing resource, be it book, article, YouTube video, podcast, whatever, you've enjoyed recently that we should check out?

Oh, is this the Citrini research one?

Well, Henry, thank you for coming on.

If people want to find out more about Balmain and what you do, they can check out the link in the show notes or the YouTube description.

But we appreciate you coming on and sharing your insight with us.