Fed Launches Direct Lending Survey in Market Exceeding $1.3 Trillion
Key Facts
The Federal Reserve Banks of Dallas and New York announced on November 9, 2026, that they had opened a pilot survey for eligible direct lending firms, with responses accepted through November 18. The banks said the survey aims to shed light on credit availability and how it is provided, changes in lending standards in private credit markets, and what these factors mean for the U.S. economy. The move is intended to provide a more consistent picture of direct lending activity, which remains less visible than public credit markets. According to an estimate the banks announced in August, the U.S. direct lending market exceeds $1.3 trillion. They described its size as approaching that of the high-yield bond and broadly syndicated loan markets, putting measurement of its trends within a broad range of credit activity.
The banks said participation in the survey is voluntary and that it is not a tool for identifying risks at lenders or informing the Federal Reserve’s supervisory or regulatory activities. The FAQ states that the survey “is not intended to identify risks at private credit lenders or inform the Federal Reserve’s supervisory or regulatory activities.” Its stated purpose is therefore limited to monitoring credit provision trends and standards and understanding their implications for the economy, not assessing individual institutions. The banks said aggregate survey results would be published, presenting directional trends rather than specific quantities. Participants’ names, affiliations and individual responses will remain confidential, and unattributed open-ended comments will not be published without the participating firm’s consent.
The questionnaire asks firms for data on assets under management allocated to direct lending, as well as the value of new loans and refinancings during the previous quarter. It also asks about changes in credit standards and loan terms, allowing the banks to track whether firms are tightening or easing financing conditions. One question asks: “What was the dollar amount of loans originated during the previous quarter with new money?” The questionnaire covers senior secured direct loans, including first-lien and unitranche financing. It excludes high-yield bonds, broadly syndicated loans and lower-priority loans, such as second-lien loans.
To qualify, a firm must manage at least $50 million in assets allocated to direct lending to U.S. corporate private credit. In an August announcement, Dallas and New York said the market classifies borrowers into three segments by earnings before interest, taxes, depreciation and amortization: more than $100 million, from $30 million to $100 million, and less than $30 million. The questionnaire also asks about changes in firms’ outlook for conditions at their portfolio companies and shifts in inquiries from prospective borrowers. Its options for measuring changes in standards for making new loans range from “tightened considerably” and “tightened somewhat,” through standards remaining largely unchanged, to “eased somewhat” and “eased considerably.” The banks said that if a regular survey is launched after the pilot, it will seek consistent participation from direct lenders on a quarterly basis.
The banks expect to publish aggregate results from the pilot survey in the first quarter of 2027. The FAQ said they expect to launch a quarterly survey after publishing the pilot results, while an earlier announcement said the regular survey would collect comparable data over time. According to the banks, quarterly repetition will allow them to track changes in lending trends and standards across successive periods. Visibility into new lending activity in private credit has been limited compared with public markets, where conditions can be tracked through published market data. The announcement did not set another date beyond the stated timetable for the pilot results and the expected launch of the regular survey.