Barclays’ Private Credit Woes Persist

Barclays continues to face challenges in its private credit arena as its partner, AGL Credit Management, struggles to attract investors. Since the partnership began last year, AGL has raised only about $70 million in additional capital following a $1 billion anchor investment from the Abu Dhabi Investment Authority. This shortfall is largely attributed to AGL’s limited track record in private credit, highlighting the difficulties of breaking into a market valued in the trillions.

The slow progress mirrors broader trends in the private credit space, where established players tend to outperform new entrants. Despite efforts to leverage exclusive access to Barclays’ deal flow, the partnership has yet to deliver significant returns, a scenario noted in reports from early April 2025. Meanwhile, major banks continue to work with non-bank lenders, underscoring the contrast in success rates within the sector.