The Office of Financial Research (OFR) has released a brief (Brief no. 26-02) titled "Measuring Counterparty Exposures to Private Credit," published on March 12, 2026. The document analyzes the growing private credit sector and its linkages with traditional financial institutions, identifying counterparty exposures between banks and private credit funds as the primary channel for risk transmission. While the brief suggests current vulnerabilities appear contained, it emphasizes the need for close monitoring due to the industry's rapid growth.

This notice serves as an informational update for compliance officers and legal professionals. It highlights a key area of financial market interconnectedness that may be relevant for risk assessment and monitoring frameworks. No immediate compliance actions are required, but understanding these linkages is important for assessing systemic risk within the financial sector.