2025 Ben Graham Conference: Silver Point’s Michael Gatto – Finding Value In Credit Markets

At the 2025 Ben Graham Conference, Michael Gatto, Partner at Silver Point Capital, delivered a keynote focusing on the risky, non-investment grade end of the credit markets, which he considers the area for value investors and where distressed debt investing is "quintessential value investing". He joked that he couldn't cover the entire topic in the allotted short time, advising attendees to buy his book, 'The Credit Investor’s Handbook,' which was endorsed by Klarman.

Also our coverage of the 2025 Sohn Monaco Conference, 2025 Global Alts New York and the Best Alternative Investment Fund Conferences for 2025.

2025 Ben Graham Conference - Silver Point Capital's Michael Gatto

Key Trends in Credit Markets:

• Significant Growth: Since 2008, leveraged credit markets have grown 2.5 times, and private credit has expanded 6.5 times. The riskiest parts of the market (rated Single B or B) have grown disproportionately, from 25% before the financial crisis to about 60% today.
• Maturity Wall: Almost $800 billion in debt will need to be refinanced in 2026, 2027, and 2028.
• High Uncertainty: Factors like tariffs, inflation, interest rate volatility, geopolitical instability, and the unknown impact of AI create a complex environment. This combination of leverage and uncertainty presents both significant opportunities and risks.