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Our approach

Our team, process, and resources allow us to focus on less competitive aspects of the market, including lower middle market and non-sponsored opportunities. Our flexible solutions offered to borrowers and sponsors provide us a competitive advantage to originate loans that other lenders cannot address. Importantly, we underwrite to worst case scenario standards, based on historic cycles and potential negative future outcomes.
  • Alignment of interest
    Principal invests alongside our investors in every deal including strategic co-investment in funds.

  • Diverse origination capabilities
    Dedicated regional coverage of more than 300 select sponsors plus non-sponsored loan origination direct with borrowers, through advisors and the Principal client network.

  • ESG integration
    Engage borrowers to assess risks and opportunities, assigning an ESG score for every loan.

  • Targeting lower and core middle market
    Borrower size of $5-$50 million EBITDA can potentially provide higher expected return and better structure than the upper middle market.

  • Intentional portfolio construction
    Originate loans in targeted industries and help avoid those prone to higher defaults.

Get to know our investor relations team.

Principal Alternative Credit
PM Title
Managing Director, Group Head
Tim Warrick, CFA
33 years of experience
PM Title
Managing Director, Head of Underwriting
Matt Darrah
19 years of experience
PM Title
Director, Head of Operations
Nick Pierce
19 years of experience
Learn more

Past performance does not guarantee future results.

Investment criteria/guidelines are subject to change.

Investments in private debt, including leveraged loans, middle market loans, and mezzanine debt, second liens, are subject to various risk factors, including credit risk, liquidity risk and interest rate risk.

ESG integration is considered across all actively managed asset classes, with the approach determined by each investment group's process. This information is specific to the strategies managed by the individuals providing this content and various investment teams across Principal may have differing views of this approach.

Fixed‐income investment options are subject to interest rate risk, and their value will decline as interest rates rise.

Principal Alternative Credit is an investment team within Principal Global Investors.