Monroe Capital Executive Criticizes Daily Credit Valuations
Ted Koenig voiced skepticism regarding the move by Apollo Global Management to implement daily private credit valuations.
Updated on Oct. 15, 2026 in Corporate Finance
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Monroe Capital executive Ted Koenig has publicly criticized the industry practice of providing daily valuations for private credit assets. The critique follows a recent shift by Apollo Global Management to begin offering these daily marks for its private credit holdings.
Why it matters
The debate highlights a significant divide in the private credit market regarding transparency and the feasibility of pricing illiquid assets on a daily basis. As institutional appetite for private credit grows, questions remain about how to standardize valuation metrics for traditionally opaque instruments.
Apollo Global Management initiated its system to roll out daily valuations for private credit assets in October 2026. Market participants continue to debate the liquidity assumptions required to support daily pricing for these asset classes.
The players
Ted Koenig
Ted Koenig is an executive at Monroe Capital, a private credit firm that manages significant assets for institutional and high-net-worth investors.
Apollo Global Management
Apollo Global Management is a major alternative asset manager that has been aggressive in expanding its private credit operations and technological infrastructure.
The details
Ted Koenig, an executive at Monroe Capital, raised concerns about the structural mechanics of daily valuations for private credit during the recent industry shift. While Apollo Global Management has moved forward with this new framework, critics argue that the underlying assets lack the active trading volumes necessary to justify such frequent pricing updates.
Timeline
Apollo Global Management began its daily valuation rollout for private credit assets in October 2026.
Market Dynamics
The debate follows a pattern set by the 2008 financial crisis valuation disputes regarding the difficulty of accurately pricing illiquid assets during market stress. This conflict updates the historical challenge by testing whether modern technology can overcome past transparency limitations in private credit.
Retail and institutional investors may face increased confusion as firms diverge on reporting standards for private credit holdings. Clearer daily data could improve liquidity visibility, but critics warn that it may artificially mask volatility in underlying debt performance.
The takeaway
Investors should remain cautious of daily valuations for assets that lack deep secondary market liquidity. Understanding the methodology behind these marks is essential for assessing the true risk profile of private credit allocations.
Further reading
For more context on market shifts, read the latest coverage on Corporate Finance.
Source note: This article includes information reported by Bloomberg Business.
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