Fidelity Investments has expanded its growing alternative investment product offering by launching its first business development company, Fidelity Private Credit Fund.
The new fund aims to generate current income and, to a lesser extent, long-term capital appreciation, through directly originated loans and other select private credit investments to private companies, the company announced in a press release on Monday.
The new BDC is available now for eligible individual investors and distributed through financial advisors and intermediaries in 43 states and territories.
The fund is available to investors with a gross annual income of at least $70,000 and net worth of $70,000 or more, or a net worth of $250,000. Individual broker-dealers may impose additional eligibility requirements.
"With the launch of Fidelity Private Credit Fund, Fidelity leverages the depth and breadth of our credit-focused resources to offer our clients an income-oriented strategy in the private credit markets," said David Gaito, portfolio manager of Fidelity Private Credit Fund and head of direct lending at Fidelity Investments. "We continue to see significant growth in the private credit market and Fidelity's direct lending team aims to use our extensive network to access high credit quality investment opportunities."
