In a captivating conversation with Giovanni Amodeo, Ted Goldthorpe, Partner and Head of BC Partners Credit, shared his invaluable insights on the private credit landscape, his background, and the future of the industry. Here’s a summary of the topics discussed:

Early Days and Career Path: Ted Goldthorpe reflected on his formative years at Goldman Sachs, where he ran various investment businesses, including the global loan and distress business. He then transitioned to the alternative asset management world, joining Apollo and eventually co-founding BC Partners Credit.

BC Partners Credit: Ted discussed BC Partners Credit’s impressive growth. He highlighted the business’s focus on originated credit, with a split between generic private credit, sponsor finance, and non-sponsored finance.

The Current Credit Market – Opportunities and Challenges: Ted shared his views on the current credit market, emphasizing that he doesn’t see widespread losses on the horizon, but expects an increase in defaults. He attributed this to the unique combination of rates, banks’ struggles, and the overall macro environment.

Advice for the Next Generation: Ted offered valuable advice to 16-year-old students, encouraging them to specialize in a field early on and explore the opportunities in the private credit space. He emphasized the importance of choosing a college that aligns with their career goals.

Aspirations and Culture at BC Partners Credit: Ted discussed his aspirations for BC Partners Credit, aiming to create a great investment management firm with a strong culture, excellent returns, and a talented team. He highlighted the importance of his employees feeling like they have a career, not just a job.

The Advantage of Being Part of BC Partners: Ted explained the benefits of being part of BC Partners, citing the firm’s industry expertise, operational knowledge, and blue-chip reputation. He emphasized the perfect balance between being a well-established firm and maintaining an entrepreneurial spirit.

Key timestamps:

00:09: Introduction to ION Influencers’ Fireside Chats
00:34: Ted Goldthorpe’s Background and Role at BC Partners Credit
01:22: BC Partners Credit Business Overview
02:12: Transition from Banking to Investment
03:11: Investing Perspective and Industry Evolution
03:37: Evolution of Banks and Partnerships
04:57: Synthetic Risk Transfer and Banking Relationships
06:19: Business Expansion and Challenges
08:00: Monitoring Private Equity Firms and Solutions
09:13: Trends in Private Equity Solutions
10:19: Talent and Skills in Private Credit Transactions
12:25: Positioning in the Credit Market
13:55: BC Partners Credit Specialization and Market Perception
14:47: Value-Added Lending and Market Trends
16:15: Growth of Sponsored and Non-Sponsored Credit
16:52: Evolution of the Private Credit Industry
17:48: Addressable Market and Growth Opportunities
18:42: Talent Acquisition and Expertise
19:38: Specialty Finance and Growth Forecast
19:58: Origination Process and Deal Sourcing
20:52: Relationship with Private Equity Firms
21:58: Assessment of Investment Judgment
23:28: Perception and Regulation of Private Credit
25:09: Investor Concerns and Economic Impact
26:42: Career Advice and Education in Finance
28:28: Future Vision for BC Partners Credit
29:27: Advantages of Being Part of BC Partners