According to informed sources, U.S. Treasury officials are seeking feedback from regulatory agencies on two key issues: the increasingly common use of leverage at the fund level and the liquidity conditions of investment products in the private credit market.

This inquiry reflects increased attention from regulators to the accumulation of risks in the non-bank financial sector. As institutions such as KKR & Co L.P. and Blue Owl Capital Inc. continue to play an increasingly active role in the private credit market, regulatory authorities are closely monitoring the potential for systemic risk transmission due to leveraged strategies. Industry analysts point out that there is an inherent connection between the rapid growth of the private credit market and the rising leverage of funds. This move by the Treasury Department may signal that regulatory guidelines targeting leverage practices in private credit funds will be introduced in the future, aiming to maintain financial market stability.