The top U.S. securities regulator has increased its scrutiny of private funds that make higher-risk loans over the last two years, according to a Reuters review of SEC actions and industry and regulatory sources — just as fears of a global recession hit the booming private credit market.
The intensified oversight from the Securities and Exchange Commission (SEC) could have deeper consequences as the financial turmoil wrought by the coronavirus and an oil price war increases the risk of corporate and individual defaults and raises pressure on fund managers to hide losses.
Lawrence Delevingne | Reuters