Private credit has become a multi-trillion-dollar market large enough for Europe’s financial stability watchdog to examine its risks to banks and the wider economy.

Reuters reported on July 9, 2026, that the European Systemic Risk Board is studying private credit as a $3.1 trillion shadow-lending sector, while the SEC announced a March 2026 roundtable on private-market valuation as retail investor access accelerates.

Retail exposure is already growing through BDCs, interval funds, tender-offer funds, ETFs with private-credit exposure and tokenized fund products. The liquidity issue has also become visible, with Reuters Breakingviews reporting that private-credit funds marketed to wealthy individuals have grown into a $300 billion…