Private credit houses, such as Apollo, have seen significant growth since the global financial crisis

Apollo's CEO, Marc Rowan, faced misunderstandings about the industry during a meeting with the CEO of a large European bank 

The bank CEO criticized Apollo and other lightly regulated asset managers, referring to them as part of the "shadow banking" market 

Rowan defended Apollo, highlighting the higher percentage of investment-grade debt on their balance sheet compared to the European bank 

Apollo aims to match its assets and liabilities from a duration perspective, distinguishing itself from traditional banks that borrow short and lend long 

Rowan emphasized Apollo's higher equity capital and Tier 2 capital ratios compared to the European bank 

Private credit and equity groups have gained importance since the 2008 financial crisis and the implementation of the Dodd-Frank law 

Big banks, once considered Wall Street's leaders, are now less leveraged and required to hold more capital 

Regulatory decisions by the US Federal Reserve have limited the scope of acquisitions and mergers for big banks 

This has created opportunities for firms like Apollo, Blackstone, and KKR to expand in the financial market by assuming risks in areas where others are not willing to tread