Smoother Portfolio Returns with Private Credit
A small slice of fixed-rate private credit can reduce overall swings in the investment portfolio without giving up income. Past data show that private credit is less than 30% correlated to the stock market.
The Problem
At times of market turbulence, diversification disappears when you need it most.
- 60/40 portfolios had their worst year since 2008 in 2022
- The reverse price relationship of equities and bonds breaks at times
- Both bonds and equities get hurt when interest rates rise
Why the Usual Choices Fail
Private credit tracked the S&P 500 at only 20–30% (2021-24), while high-yield ETFs were above 70%. In the 2022 downturn, “high-dividend” ETFs fell 3-7%, while private credit gained, on average, 6.3%.
How Kilde Helps
Key Facts
- Term: 3–36 months
- Interest: 10–15% simple interest paid out as frequently as monthly
- Early redemption: 2-4 times a year
- Investment: Senior secured credit to Non-Bank Financial Institutions
- Security: Diversified consumer and SME loan pools
3-Step Plan
- Open Your Account – digital sign-up with your phone or computer
- Pick Your Investment – choose terms so repayments arrive when you need them.
- Use Your Interest – withdraw or roll into the next investment.
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Proof It Works
Since 2021, Kilde has consistently delivered above 10% yearly returns to our investors, deploying more than $108,000,000 of capital.
Monthly Gross Returns
* The 2025 figure is as of May 2025, compounded over the past 12 months.
Conclusion
Investing with Kilde adds steady yield and calmer nerves to your portfolio.
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The views expressed in this blog post are solely my personal opinions and do not constitute professional financial advice. I am simply sharing my opinions with no guarantee of accuracy or completeness. No reader should make decisions based solely on the contents of this blog post. Readers should consult their own financial advisor before making any investment decisions. Neither the author of this blog post, Kilde, nor its employees will be held liable for any financial losses or damages that may result from the use of the information contained herein. Investing contains risks, including total loss of capital. Past performance does not guarantee future returns. Please conduct your own research before investing.
FAQ
Private credit is debt financing provided directly to companies or specialist lenders instead of through public bond markets. Because it is negotiated privately, it can offer higher fixed rates (10 – 15% p.a. in Kilde’s deals) and stronger investor protections such as senior-secured positions and collateral coverage.
We finance well-capitalised Non-Bank Financial Institutions (NBFIs) that issue diversified pools of consumer, SME, or micro-loans. These short-duration, high-yield assets have produced double-digit coupons since 2021, outpacing inflation and traditional bonds without stock-market swings.
You choose monthly or quarterly payouts of the returns. Cash interest is credited to your Kilde account automatically; you can withdraw to your bank or reinvest in the next deal with a click.
Our offers are open to Accredited Investors under Singapore regulations. Ticket sizes start from SGD 100 (or the local currency equivalent) per deal.
Terms range from 3 to 36 months. Most debentures include scheduled early-redemption windows two to four times a year, giving you optional liquidity.
Investors receive senior-secured notes. Collateral typically includes diversified loan receivables pledged to the investors with 1.6 times cash flow over the invested principal.
Yes. Kilde holds a Capital Markets Services licence (CMS 101016) from the Monetary Authority of Singapore (MAS) for dealing in securities, units in collective investment schemes and is an exempted financial adviser. Client funds are held in segregated trust accounts.
There is 0.5% per year fee on the invested amount.
The main risks are borrower default and macro shocks that affect loan portfolios. We mitigate these through (a) senior-secured structure, (b) conservative advance rates, (c) rigorous borrower due diligence, and (d) continuous monitoring with early-warning covenants.
Your dashboard shows live positions, following payout dates, and cumulative returns. Monthly statements are downloadable.
Yes. Historical data show private credit’s correlation to global equities is below 0.3, which can cushion drawdowns while still delivering equity-like yields.
Investors enable financial inclusion by channelling capital to NBFIs that fund micro-entrepreneurs and under-banked SMEs while earning market-beating returns. Impact metrics—such as jobs supported and female borrowers reached—are reported each quarter.
