Caisse de Depot et Placement du Quebec's head of liquid markets, Vincent Delisle, dismissed concerns about the private credit sector as overblown, despite recent market jitters. The C$517 billion Quebec pension fund earned a 9.6% return in private credit last year while missing benchmarks elsewhere.

Delisle acknowledged some pockets of caution are needed, particularly regarding technology companies vulnerable to AI disruption. He pointed to hyperscalers' aggressive spending as a concern, noting that free cash flow is coming down and will impact valuations. The fund plans to expand its private credit exposure from C$68 billion to over C$100 billion by 2030.

The pension manager remains confident in the asset class despite Blue Owl Capital's recent struggles and withdrawal requests. Delisle emphasized that every loan undergoes rigorous arbitrage analysis against public debt equivalents, and the fund will walk away if spreads aren't attractive enough. With C$6 billion to C$8 billion in annual net deployment planned, La Caisse maintains a disciplined approach to private credit investing.