Alternative investments such as private equity and private credit have become core components of institutional portfolios, offering a significant source of diversification and the potential for enhanced returns. Swedish insurance company Afa Försäkring, which oversees more than $20 billion in assets, allocates approximately 20 percent of its total portfolio to alternatives, with about 20 percent of this allocation dedicated to private credit. “The objective of our private credit program is to add diversification across our overall portfolio, but more specifically to complement traditional corporate credit, in addition to achieving...