Private placements

Concerns about the fast-growing $1.8 trillion private debt market have bubbled up this year as redemption requests from retail funds accelerated.

The new business will take in money from insurance companies and invest in mortgages and in private structured credit. It will look to draw business from an insurance industry that's "looking to diversify.

Family offices—mini-investment firms set up by the super rich to manage their personal wealth—have poured more and more cash into direct lending, Preqin says.