Fundamentals of Private Debt

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Deal Score+1



Private debt is a very specific, specialized industry.

Maybe even more than for private equity or hedge funds, there’s not a lot of knowledge about it.

Which is a shame, considering it can be a very profitable one.

It used to be that, in the past, you wouldn’t be able to just find a course that illustrates everything about private debt.

The types of debt instruments, the investment strategies, the actual investment vehicles, and more.

You wouldn’t be able to find a centralized repository of knowledge on everything private debt.

That is, until this course.


Unlike other courses, this course is extremely comprehensive and covers all main areas of the Private Debt profession. Not just valuation. Not just the job activities. Not just fundraising and fund marketing.

ALL of them.

This extremely comprehensive course is divided into four main modules:

  • The Fundamentals, where we cover how private debt essentially works, in terms of the industry, investing, how loans work, and more;
  • Debt Products, where we cover the different types of debt instrument issued by banks, private lenders or others, and what their characteristics are;
  • The different Investment Strategies, from real estate debt, to venture debt, royalties, and many more;
  • How Loan Agreements work, breaking down these documents into the key sections, as well as the meaning of each one of them, from the precedent conditions to covenants, and an analysis of the different types of covenants;


Some people – including me – love to know what they’re getting in a package.

And by this, I mean, EVERYTHING that is in the package.

So, here is a list of everything that this course covers:

  • What are the essential terms and keywords in terms of debt. Maturity, principal, interest. What is direct lending, what is leveraged lending. What is secured debt, what is collateral, what is overcollateralization, what do debt liens mean, what is bilateral and syndicated lending, what is a credit facility, what does debt seniority or debt instruments being “investment-grade” mean, what is the yield or interest rate, what is securitized debt (structured finance products), what is debt rediscounting, what are covenants, and what are primary and secondary transactions in funds;
  • What are the different payment modalities for both the principal and the interest of debt. Principal: Amortised, bullet, sinking fund, call and put provisions. Interest: Cash, PIK (paid-in-kind), step-up, zero-coupon, deferred interest, periodic reset;
  • What are the different debt characteristics. Public or private, used to finance operations or a transaction, short- or long-term, with instruments above or below investment grade, secured or not, with a fixed or a floating interest rate, being a term loan or a revolving line of credit, being committed or uncommitted, and being provided by banks, private lenders or the bond market;
  • Similarities and differences between Private Equity and Private Debt, including similarities in fund structures and allocator profiles (closed-end funds), but with different return models (exits in PE versus fixed income in PD), as well as the differences between debt and equity underwriting (structuring debt tranches vs. structuring share price and quantity), and the intersection between both (financing LBOs with private debt, for example);
  • The two main types of private debt vehicles: BDCs (Business Development Companies) and private credit funds, as well as the major differences between them (types of investors allowed + investment strategy bias);
  • What types of debt instruments are provided by banks, including overdraft facilities, term loans, money market facilities, revolving lines of credit, and leases;
  • What types of DCM (debt capital markets) debt instruments exist, including commercial paper, or bonds and notes, including corporate bonds and high-yield bonds, with different levels of risk and yield;
  • The different types of investment strategies, from middle-market corporate lending, to real estate, infrastructure debt, and many others;
  • How middle-market corporate loans work, usually provided either by senior, secured bank debt or private mezzanine debt, with different levels of risk and demands (maintenance financial covenants);
  • How mezzanine debt works, originally an intermediate step between equity rounds and bank debt, but nowadays reduced to a specific niche, either for bespoke financing needs, or as a replacement for high-yield bonds at times of instability;
  • How Asset-Based Lending (ABL) works, with collateral being specific assets of the borrower, frequently used for working capital needs, using either inventory or Accounts Receivable (A/R) as collateral, and usually repaid by the liquidation of the collateral assets;
  • How real estate debt works, for the development or maintenance of properties of different types (residential or commercial, including all categories of property, from offices to retail, industrial, hospitality and other types), and, specifically for senior, secured real estate debt, its presence as core in many portfolios, as a tested, reliable strategy;
  • How infrastructure debt works, mainly for energy and transportation purposes (power plants, oil pipelines, airports, roads and more), and mostly senior, secured debt where a government is a borrower. Lower risk and lower reward, usually used as a risk dampener;
  • How structured finance products work, including CLO (Collateralized Loan Obligations), CDOs (Collateralized Debt Obligations) or MBSs (Mortgage-Backed Securities), how the securitization process works, and their role in the 2008 subprime crisis;
  • How distressed debt works, mainly DIP (Debtor-In-Possession) debt, where lenders intervene during a critical liquidity crisis of the borrower, helping them prevent bankruptcy and profiting from their recovery;
  • How venture debt works, as a type of Venture Capital (VC) but with debt instead of equity. Ideal for when the startup doesn’t want to give up more equity, or just can’t due to circumstances (down rounds), with high barriers to entry in terms of specialized knowledge and contacts;
  • How royalties work in terms of debt investing, licensing the rights to IP (Intellectual Property), namely in sectors such as life sciences/big pharma, entertainment such as movies and music, or consumer brands such as makeup and consumer electronics, and the high barriers to entry in terms of knowledge and contacts;
  • How consumer lending, marketplace lending and P2P lending work, an industry evolving at a quick pace, and how private lenders can obtain exposure to this strategy, usually through rediscount lending through marketplaces or platforms;
  • An overall view of loan agreements, including specific sections such as conditions precedents, representation and warranties, the definitions used, and covenants;
  • The different types of covenants – affirmative, negative and financial – as well as the two main types of financial covenants: incurrence and maintenance, as well as their consequences;


Remember that you always have a 30-day money-back guarantee, so there is no risk for you.

Also, I suggest you make use of the free preview videos to make sure the course really is a fit. I don’t want you to waste your money.

If you think this course is a fit and can take your knowledge of PE to the next level… it would be a pleasure to have you as a student.

See on the other side!

What you’ll learn

  • How debt investing works, in terms of yield, interest rates, investment vehicles and results
  • The different types of debt instruments, from term loans to revolving credit lines, notes and bonds, unitranche and others, and the lenders providing each
  • The main types of private debt strategies, from real estate debt to venture debt, royalties, distressed debt, and many others, as well as their characteristics
  • The intersection of Private Debt with other industries, including Private Equity, for example, in terms of LBO financing with different tranches of debt


None at all! A basic knowledge of investing/debt can help, but is NOT necessary

Who this course is for:

  • Any professional looking to enter the Private Debt industry
  • Any professional looking to know more about how companies lend, as well as the demands and conditions of different types of debt

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