State Street Global Advisors Democratizes Access to Investment Grade Private Credit Markets with New ETF
State Street Global Advisors (NYSE: STT) has launched the SPDR® SSGA Apollo IG Public & Private Credit ETF (PRIV), an actively managed ETF providing access to investment-grade private credit markets. The fund focuses on maximizing risk-adjusted returns and current income through investment-grade debt securities, combining public and private credit including asset-based finance and corporate lending.
The ETF, managed by State Street's Active Fixed Income Team, utilizes Apollo Global Securities for private credit instruments sourcing. The fund employs a risk-aware, macroeconomic approach with bottom-up security selection to construct its portfolio. Apollo reported over $220 billion of origination in 2024, with an estimated potential addressable market for private credit of $40 trillion.
State Street Global Advisors (NYSE: STT) ha lanciato il SPDR® SSGA Apollo IG Public & Private Credit ETF (PRIV), un ETF gestito attivamente che offre accesso ai mercati del credito privato di investimento. Il fondo si concentra sull'ottimizzazione dei rendimenti aggiustati per il rischio e sul reddito attuale attraverso titoli di debito di alta qualità, combinando credito pubblico e privato, inclusi finanziamenti basati su attivi e prestiti aziendali.
L'ETF, gestito dal Team di Reddito Fisso Attivo di State Street, utilizza Apollo Global Securities per la fornitura di strumenti di credito privato. Il fondo adotta un approccio macroeconomico consapevole del rischio con una selezione di titoli dal basso verso l'alto per costruire il proprio portafoglio. Apollo ha riportato oltre 220 miliardi di dollari di origini nel 2024, con un mercato potenziale indirizzabile stimato per il credito privato di 40 trilioni di dollari.
State Street Global Advisors (NYSE: STT) ha lanzado el SPDR® SSGA Apollo IG Public & Private Credit ETF (PRIV), un ETF gestionado activamente que proporciona acceso a los mercados de crédito privado de grado de inversión. El fondo se centra en maximizar los rendimientos ajustados al riesgo y los ingresos actuales a través de valores de deuda de grado de inversión, combinando crédito público y privado, incluidos financiamiento basado en activos y préstamos corporativos.
El ETF, gestionado por el equipo de Renta Fija Activa de State Street, utiliza Apollo Global Securities para la obtención de instrumentos de crédito privado. El fondo emplea un enfoque macroeconómico consciente del riesgo con una selección de valores de abajo hacia arriba para construir su cartera. Apollo reportó más de 220 mil millones de dólares en originaciones en 2024, con un mercado potencial direccionable estimado para el crédito privado de 40 billones de dólares.
State Street Global Advisors (NYSE: STT)는 SPDR® SSGA Apollo IG Public & Private Credit ETF (PRIV)를 출시했습니다. 이 ETF는 투자 등급의 사모 신용 시장에 접근할 수 있도록 하는 적극적으로 관리되는 ETF입니다. 이 펀드는 투자 등급의 채무 증권을 통해 위험 조정 수익과 현재 수익을 극대화하는 데 중점을 두며, 자산 기반 금융 및 기업 대출을 포함한 공적 및 사적 신용을 결합합니다.
State Street의 적극적 고정 수익 팀이 관리하는 이 ETF는 사모 신용 기구 소싱을 위해 Apollo Global Securities를 활용합니다. 이 펀드는 포트폴리오를 구성하기 위해 하향식 보안 선택과 함께 위험 인식의 거시 경제적 접근 방식을 사용합니다. Apollo는 2024년 동안 2,200억 달러 이상의 기원을 보고했으며, 사모 신용에 대한 추정 가능한 잠재 시장은 40조 달러에 달합니다.
State Street Global Advisors (NYSE: STT) a lancé le SPDR® SSGA Apollo IG Public & Private Credit ETF (PRIV), un ETF géré activement qui offre un accès aux marchés de crédit privé de qualité investissement. Le fonds se concentre sur la maximisation des rendements ajustés au risque et des revenus courants grâce à des titres de créance de qualité investissement, combinant crédit public et privé, y compris le financement basé sur des actifs et les prêts aux entreprises.
L'ETF, géré par l'équipe de revenu fixe actif de State Street, utilise Apollo Global Securities pour la recherche d'instruments de crédit privé. Le fonds adopte une approche macroéconomique consciente des risques avec une sélection de titres de bas en haut pour construire son portefeuille. Apollo a rapporté plus de 220 milliards de dollars d'origination en 2024, avec un marché potentiellement adressable estimé pour le crédit privé de 40 trillions de dollars.
State Street Global Advisors (NYSE: STT) hat den SPDR® SSGA Apollo IG Public & Private Credit ETF (PRIV) ins Leben gerufen, einen aktiv verwalteten ETF, der Zugang zu den Investment-Grade-Märkten für private Kredite bietet. Der Fonds konzentriert sich darauf, risikoadjustierte Renditen und laufende Erträge durch Investment-Grade-Schuldverschreibungen zu maximieren und kombiniert öffentliche und private Kredite, einschließlich asset-basierter Finanzierungen und Unternehmensdarlehen.
Der ETF, der vom aktiven Fixed Income Team von State Street verwaltet wird, nutzt Apollo Global Securities zur Beschaffung privater Kreditinstrumente. Der Fonds verfolgt einen risikobewussten, makroökonomischen Ansatz mit einer Bottom-up-Sicherheitsauswahl zur Konstruktion seines Portfolios. Apollo berichtete 2024 über 220 Milliarden Dollar an Neuemissionen, mit einem geschätzten adressierbaren Markt für private Kredite von 40 Billionen Dollar.
- Launch of innovative ETF product expanding market reach
- Partnership with Apollo Global Securities for sourcing private credit
- Access to $40 trillion addressable market
- $220 billion origination volume in 2024
- None.
Insights
State Street Global Advisors has launched SPDR SSGA Apollo IG Public & Private Credit ETF (PRIV), an actively managed ETF that represents a significant innovation in democratizing access to investment grade private credit markets. This product effectively bridges the gap between institutional and retail investors by packaging traditionally less-accessible private credit investments with the transparency, liquidity, and tradability of the ETF structure.
The timing is strategic as private credit has emerged as one of the fastest-growing alternative asset classes. Institutional investors have increasingly allocated to private credit seeking yield premium over public markets, portfolio diversification, and reduced mark-to-market volatility. Now retail investors can access similar benefits through a more accessible vehicle.
The partnership with Apollo provides PRIV with a significant competitive advantage. Apollo's
However, investors should recognize the inherent structural tension in offering daily liquidity for less liquid underlying assets. During market stress, this liquidity mismatch could potentially create challenges if redemptions accelerate. The fund's allocation between public and private credit will be important to managing this balance.
The
This product represents the continuation of a broader trend of democratizing alternative investments through ETF structures. Similar innovations have occurred in private equity, real estate, and infrastructure. For State Street, this launch enhances their competitive positioning against rivals like BlackRock and Invesco who are similarly expanding their alternative investment capabilities.
The launch of State Street's PRIV ETF marks a pivotal moment in the evolution of ETF products by creating a hybrid vehicle that bridges public and private credit markets. This innovation addresses a fundamental market inefficiency: while private credit has delivered compelling risk-adjusted returns for institutional investors, structural barriers have largely prevented retail investor participation.
This ETF solves several key challenges that have historically restricted retail access to private credit: high investment minimums, liquidity, complex fee structures, and lack of transparency. By packaging private credit within an ETF wrapper, State Street has effectively created a democratization mechanism that preserves many private credit benefits while mitigating its accessibility limitations.
The strategic partnership with Apollo represents a significant competitive advantage. Apollo's
The product launch comes amid a broader convergence between traditional and alternative asset managers. BlackRock, Invesco, and Franklin Templeton have all expanded their alternative investment capabilities, while private market specialists like Apollo, Blackstone, and KKR have increasingly targeted wealth management channels.
The structural innovation of providing daily liquidity for less liquid underlying assets warrants careful consideration. During normal market conditions, the public credit portion of the portfolio can facilitate liquidity needs. However, in stressed markets, significant redemptions could potentially force disadvantageous liquidations or create tracking issues.
The
This product launch reflects the broader evolution of ETFs from simple index-tracking vehicles to sophisticated investment solutions addressing previously inaccessible market segments.
Actively managed ETF offers unique investment grade private credit market exposure with transparency and daily liquidity
“Historically, the ETF vehicle has been used to unlock market opportunities for all investors, no matter how big or small. Thanks to ETFs, all investors have transparent access to traditionally less-liquid segments of the markets,” said Anna Paglia, chief business officer at State Street Global Advisors. “We have worked with Apollo to provide a liquidity solution within PRIV and PRIV continues the mission of democratizing access to private markets,” she added.
PRIV seeks to maximize risk-adjusted returns and provide current income by investing primarily in investment grade debt securities, including a combination of public and private credit such as asset-based finance and corporate lending. PRIV uses a risk-aware, macroeconomic top-down approach combined with bottom-up security selection to construct a portfolio that seeks to overweight the most attractive sectors and issuers. PRIV may invest in private credit instruments sourced by Apollo Global Securities, LLC, an affiliate of Apollo Global Management, Inc. (NYSE: APO) (“Apollo”).
Over the last decade, investment demand for private markets exposure has surged, driven by large institutional investors seeking higher yields and greater diversification potential. State Street Global Advisors expects the next wave of private market demand will include retail investors seeking exposure to this growing asset class through lower cost investment vehicles that are tradable, transparent, and provide daily liquidity.
Apollo reported more than
For more information about PRIV, the role private credit can play in a portfolio, and educational content, visit our dedicated landing zone.
About State Street Global Advisors
For over four decades, State Street Global Advisors has served the world’s governments, institutions, and financial advisors. With a rigorous, risk-aware approach built on research, analysis, and market-tested experience, and as pioneers in index and ETF investing, we are always inventing new ways to invest. As a result, we have become the world’s fourth-largest asset manager3 with US
1 Apollo Global Management as of December 31, 2024.
2 Apollo Global Management as of September 2024: Leading With Private Investment-Grade Credit.
3 Pensions & Investments Research Center, as of 12/31/23.
4 This figure is presented as of December 31, 2024 and includes ETF AUM of
Disclaimer: Apollo is not a sponsor, distributor, promoter, or investment adviser to the Fund. Apollo has entered into a contractual agreement with the Fund whereby it is obligated to provide firm bids on asset-backed and corporate finance instruments, sourced by Apollo (each an “AOS Investment”) to the Fund on a daily basis at certain intervals and is required to repurchase AOS Investments that the Fund has purchased at the firm bid price offered by Apollo, subject to, but not limited to, contractual levels designed to cover the estimated seven-day stress redemption rate as of the date hereof. The sale of AOS Investments to Apollo is not exclusive and the Fund may seek to sell AOS Investments to other counterparties.
Important Risk Information
Investing involves risk including the risk of loss of principal.
Market Risk: The Fund's investments are subject to changes in general economic conditions, general market fluctuations and the risks inherent in investing in markets. Investment markets can be volatile and prices of investments can change substantially due to various factors including, but not limited to, economic growth or recession, changes in interest rates, inflation, changes in the actual or perceived creditworthiness of issuers, and general market liquidity
ETFs trade like stocks, are subject to investment risk, fluctuate in market value and may trade at prices above or below the ETFs net asset value. Brokerage commissions and ETF expenses will reduce returns.
The Fund is actively managed. The Adviser’s judgments about the attractiveness, relative value, or potential appreciation of a particular sector, security, commodity or investment strategy may prove to be incorrect, and may cause the Fund to incur losses. There can be no assurance that the Adviser’s investment techniques and decisions will produce the desired results.
Debt Securities: The values of debt securities may increase or decrease as a result of the following: market fluctuations, changes in interest rates, actual or perceived inability or unwillingness of issuers, guarantors or liquidity providers to make scheduled principal or interest payments or illiquidity in debt securities markets; the risk of low rates of return due to reinvestment of securities during periods of falling interest rates or repayment by issuers with higher coupon or interest rates; and/or the risk of low income due to falling interest rates.
Investing in high yield fixed income securities, otherwise known as “junk bonds”, is considered speculative and involves greater risk of loss of principal and interest than investing in investment grade fixed income securities. These Lower-quality debt securities involve greater risk of default or price changes due to potential changes in the credit quality of the issuer.
Privately-issued securities are securities that have not been registered under the Securities Act and as a result are subject to legal restrictions on resale. Privately-issued securities are not traded on established markets and may be illiquid, difficult to value and subject to wide fluctuations in value. Limitations on the resale of these securities may have an adverse effect on their marketability, and may prevent the Fund from disposing of them promptly at reasonable prices. Private credit can range in credit quality depending on a variety of factors, including total leverage, amount of leverage senior to the security in question, variability in the issuer’s cash flows, the size of the issuer, the quality of assets securing debt and the degree to which such assets cover the subject company’s debt obligations. In addition, there can be no assurance that the Adviser will be able to secure all of the investment opportunities that it identifies for the Fund, or that the size of an investment opportunity available to the Fund will be as large as the Adviser would desire, on account of general economic conditions, specific market developments, or other circumstances outside of the Adviser’s control.
Non-diversified fund may invest in a relatively small number of issuers. The value of shares of non-diversified funds may be more volatile than the values of shares of more diversified funds.
Intellectual Property Information: The S&P 500® Index is a product of S&P Dow Jones Indices LLC or its affiliates (“S&P DJI”) and have been licensed for use by State Street Global Advisors. S&P® , SPDR® , S&P 500® ,US 500 and the 500 are trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”) and has been licensed for use by S&P Dow Jones Indices; and these trademarks have been licensed for use by S&P DJI and sublicensed for certain purposes by State Street Global Advisors. The fund is not sponsored, endorsed, sold or promoted by S&P DJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of these indices.
Distributor State Street Global Advisors Funds Distributors, LLC, member FINRA, SIPC, an indirect wholly owned subsidiary of State Street Corporation. References to State Street may include State Street Corporation and its affiliates. Certain State Street affiliates provide services and receive fees from the SPDR ETFs.
Before investing, consider the funds’ investment objectives, risks, charges and expenses. To obtain a prospectus or summary prospectus which contains this and other information, call 1-866-787-2257 or visit ssga.com. Read it carefully.
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7555407.1.1.AM.RTL Exp. Date: 2/28/2026
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Deborah Heindel
+1 617 662 9927
DHEINDEL@StateStreet.com
Source: State Street Corporation
FAQ
What is the investment strategy of State Street's new PRIV ETF?
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