KKR (KKR) Barclays 24th Annual Global Financial Services Conference summary

Business overview and recent growth

• Credit business manages up to $300 billion AUM, spanning leveraged credit, private credit, asset-based finance, and strategic investments across 12 cities and 10 countries, supported by approximately 250 professionals.

• Credit AUM increased 50% since 2021, with management fees up 32% and 11% fee growth in the first half of 2026.

• Asset-based finance (ABF) is a significant and growing segment, now larger than corporate private credit at $91 billion.

• Over $2.7 trillion in cumulative debt and equity financing has been executed to date.

• Multi-asset class partnerships and diversified income streams are key trends, with allocators seeking broader exposure.

Market trends and tailwinds

• Credit allocations continue to see inflows, supported by attractive risk-reward profiles in a higher interest rate environment.

• Persistent supply/demand imbalances and capital constraints are creating attractive credit opportunities, especially in capital solutions and Asia credit.

• Private credit is becoming a permanent allocation, with compounding returns as reinvestment replaces income distribution.

• Record private equity dry powder and demand for financing are driving growth in credit allocations.

• Capital-light business models are being rewarded, driving off-balance sheet financing and bespoke capital solutions.

Asset-based finance and private IG

• Over $80 billion in private investment grade transactions originated or placed year-to-date, up 104% from last year, spanning multiple sectors, six countries, and four regions.

• ABF is gaining traction as allocators seek inflation protection and less correlated returns, but barriers to entry remain high due to required scale and expertise.

• Institutional adoption of ABF is in early innings, with individual investor participation expected to grow.

• Integration with the insurance business enhances alignment and scale for large transactions.

• More than 40 captive origination platforms support activity in asset-based finance and real assets.