For decades, private debt was a closed club. Insurers, pension funds, family offices: they alone lent directly to companies, with six-figure tickets and capital locked up for years. You, the individual saver, only heard about it in annual reports. In recent years, the rules have changed. European ELTIF funds have opened up to individuals, the French Green Industry Act (loi Industrie verte) is pushing unlisted assets into French life-insurance savings contracts (assurance-vie), and crowdlending lets you lend to SMEs with just a few dozen euros. The catch? These entry points are not equal at all: ticket size, fees, liquidity and taxation vary enormously from one to the next. Let's review them one by one, with 2026 figures, so you can find out which one fits your situation.
Buying Private Debt in France: How Can You Invest If You're Not an Institutional Investor?
This article was originally written in French by Jordan Houi for readers residing in France. The savings products, tax rules, and figures it describes apply in France; other countries have different rules.
Private debt in two minutes
Private debt is money lent to companies outside the financial markets and outside the banks. No bonds listed on the stock exchange, no bank counter: a non-bank lender finances the company directly and holds the loan until it is repaid.
Why do companies turn to it? Because banks, constrained by stricter prudential rules since the 2008 crisis, are less willing to lend to SMEs and mid-sized companies. Private debt has filled that gap.
There are several levels of risk, depending on the lender's repayment ranking:
Senior debt is repaid first if the company runs into trouble, often with collateral. Less risky, lower returns.
Mezzanine debt ranks behind senior debt, hence significantly higher rates.
Unitranche combines the two in a single loan, at an intermediate rate.
We explain these rankings in detail in our article on senior, subordinated and mezzanine debt.
If individuals were kept out for so long, it was for three very concrete reasons : high minimum amounts, capital locked up for several years, and credit analysis work that few savers can carry out on their own.
You may come across the terms "private debt," "private credit" or "direct lending." These are the English equivalents, used almost interchangeably. Direct lending refers more specifically to lending directly to companies, which we explain in our article direct lending explained.
Five entry points for an individual investor
Unit-linked funds in assurance-vie and PER
This is the most common route. More and more assurance-vie contracts and French retirement savings plans (PER) now list private debt funds in the form of market-linked investment units within a French life-insurance contract (unités de compte): FCPRs (fonds communs de placement à risques, venture capital mutual funds) or so-called "evergreen" funds, with no end date, that invest continuously.
The minimum investment is often around €1,000, sometimes less with managed allocation. The big advantage? you benefit from the tax treatment of the wrapper, and the insurer handles the exit.
The Green Industry Act has sped things up. Since October 24, 2024, managed allocation in new contracts must include a minimum share of unlisted assets : at least 4% for a balanced profile and 8% for a dynamic profile in assurance-vie, and up to 15% in a PER depending on the profile and time horizon. The selected funds may include private debt.
The downside? The fees pile up (those of the fund and those of the contract), and the promised liquidity is not always immediate.
ELTIFs, the European fund open to individual investors
TheELTIF (European Long-Term Investment Fund) is a European label designed to channel savings into the real economy: infrastructure, unlisted companies, private debt.
Its reform, known as ELTIF 2.0 and in effect since January 10, 2024, removed two barriers for individual investors whose financial portfolio does not exceed €500,000: the €10,000 minimum ticket and the cap of 10% of their financial assets invested in these funds. Instead, the distributor must check that the investment is right for you by means of a suitability test. Each fund may still set its own minimum, however.
An ELTIF is held in a French standard taxable brokerage account (compte-titres), and some are also available within an assurance-vie or a PER. Exit follows the fund's rules: at maturity for the most closed-ended ones, or during periodic redemption windows for the others.
FCPR in a brokerage account
Some retail FCPR combine private debt and private equity, and can be subscribed directly through a brokerage account. The ticket is generally between €1,000 and €5,000.
Their main constraint is clear: your capital generally stays locked up for five to eight years, with no organized exit option. These funds must also invest at least 50% of their assets in unlisted securities.
Professional funds, from €100,000
FPCI (professional private equity funds) and limited partnerships (SLP) give access to a broader universe, often with lower fees. But the minimum ticket is €100,000, and these vehicles are aimed at sophisticated investors.
For most savers, this door stays closed. It is worth knowing about, nothing more.
Crowdlending: private debt, direct
There is one more route that most guides overlook: lending yourself. With crowdlending, a platform selects companies looking for financing, and you fund their loans, project by project. This is genuine private debt, with no intermediary fund.
At Maclear, these are European SMEs whose loans are backed by assets (equipment, vehicles, inventory, real estate). You can start investing with as little as €50, each loan typically runs 4 to 16 months, and interest is paid monthly. You pick your loans one by one, or you automate the selection based on your own criteria.
That is a big difference! No fund management fees, but no fund manager either: diversifying is up to you.
A private debt fund and a crowdlending platform do not do the same job. The fund buys dozens of loans, often to large companies, and gives you a share of the whole. The platform connects you with specific borrowers, often smaller ones.
The first spares you the work of diversifying; the second leaves you in control.
From gross return to net return
The figures that funds put forward are targets, almost always gross. European senior debt generally targets 6 to 10% gross per year, often at a floating rate (a benchmark rate such as Euribor, plus a margin). Mezzanine debt targets more, in exchange for higher risk.
Between that target and what actually lands in your pocket, several layers take their cut.
First, the fund's management fees, generally between 1 and 2% per year. Next, the wrapper's fees if you invest through an assurance-vie or a PER. Finally, for evergreen funds, the liquidity cushion : they often keep 10 to 20% of their assets in liquid investments to meet redemptions, which can cost one to two points of return per year.
Here is what €10,000 yields over one year depending on the entry point. The assumptions are deliberately simple and conservative.
| Solution | Target gross return | Annual fees | Gain before tax | Taxation | Net gain | Net return |
|---|---|---|---|---|---|---|
| Private debt fund in an assurance-vie (contract over 8 years old) | 7 % | 2.2% (fund and contract) | 480 € | 17.2% social charges | 397 € | 3,97 % |
| ELTIF in a brokerage account | 7 % | 2 % | 500 € | PFU 31.4% | 343 € | 3,43 % |
| Maclear loans (low end of range) | 14 % | not deducted | 1 400 € | PFU 31.4% | 960 € | 9.60% before defaults |
For the assurance-vie, we assume gains covered by the annual French tax allowance (abattement) of €4,600 (€9,200 for a couple), and therefore no income tax. For Maclear, loans are published with fixed rates of 14 to 16% gross, and the calculation assumes repayments are reinvested as they come in.
Two clarifications are in order. Fund returns are targets, not guaranteed results. And the Maclear figure is a ceiling: a delay, a restructuring or a default will reduce it, sometimes sharply.
In short, an advertised 8% can quickly become 4% actually collected…
Liquidity: the real point to watch
It is the question no one asks when subscribing. Yet in private debt, it is often what decides everything.
Closed-end funds are the easiest to understand: you buy in, and your money is locked up until the fund's maturity, usually five to eight years. No early exit, or only with penalties.
Semi-liquid funds (evergreen funds, some ELTIFs) promise more flexibility. In practice, their liquidity is restricted: several weeks' notice, quarterly redemption windows, and above all redemption caps, often around 5% of assets per quarter. If too many investors want out at the same time, the fund pays out only part of the requests.
This scenario is anything but theoretical. In early 2026, several large U.S. private debt funds had to limit redemptions in the face of a surge in withdrawal requests. The underlying loans were not necessarily the problem: it was the mismatch between illiquid assets and a promise of liquidity that caused the squeeze.
The lesson for you? Only invest in private debt money you can leave working for several years, whatever liquidity is advertised.
Crowdlending works differently. Loans are short, usually a few months, and repay part of your capital each month without you having to ask anyone. To exit before maturity, you have to sell your claim on a secondary market: at Maclear, at par or at a discount of up to 50%, with a 2.5% fee paid by the seller. And a buyer still has to come forward. We explain these mechanisms in detail in our guide on the liquidity of an investment.
A fund that advertises "quarterly liquidity" is telling you when you can request to exit, not when you will actually get out. Always read the section of the information document on redemption caps before you subscribe.
The risks to know before you buy
The first risk is obvious: default risk. If a borrowing company fails to repay, the lender loses part or all of the stake. Default rates reported by the industry remain low, under 2% for several years according to S&P Global. But once restructurings and forced renegotiations are included, the agency estimated this "true" rate at close to 5% over the first nine months of 2025.
Next comes valuation. An unlisted loan has no market price : its value is estimated by the manager, which can artificially smooth performance.
There is also concentration. Some funds are heavily exposed to a single sector or geographic area. And the track record of retail funds is still short: most have not yet been through a full default cycle.
In crowdlending, these risks take a more visible form, since you see each loan. Serious platforms layer several protections. Maclear says it rejects up to 90% of funding requests and rates each borrower on its own scoring grid (how Maclear assesses SME borrowers). The loans are backed by collateral, and a Provision Fund funded by 2% of each financed project serves as a shared reserve to absorb payment difficulties.
None of these protections amounts to a guarantee. Collateral may sell for less than expected, and a pooled reserve has its limits.
To assess a fund or a loan before putting money into it, our method for evaluating the risk of an investment gives you the right questions to ask.
How is it taxed, depending on the way in?
Taxation depends less on private debt itself than on the wrapper that holds it.
In an assurance-vie, gains are taxed only when you make a withdrawal. After eight years, they benefit froman annual allowance of €4,600 for a single person and €9,200 for a couple. Beyond that, the overall rate is 24.7% (7.5% income tax and 17.2% French social charges on investment income (prélèvements sociaux)) for contributions below €150,000.
In a PER, your contributions are deductible from your taxable income, within the applicable caps. In return, a lump-sum withdrawal is taxed at the income tax scale on the portion corresponding to contributions, and the gains are subject to the French flat tax on investment income (PFU).
In a brokerage account, income and capital gains are subject to the PFU at 31.4% in 2026 (12.8% income tax and 18.6% social charges), unless you opt for the progressive scale. Certain so-called "tax" FCPR funds allow gains to be exempt from income tax after five years of holding, subject to conditions. Social charges remain due.
In crowdlending through a foreign platform, such as Maclear, based in Switzerland, the interest is also subject to the PFU at 31.4%. But nothing is withheld at source : it is up to you to declare and pay the advance installment using form 2778, and to report your foreign account on form 3916. All the steps are detailed in our guide on the taxation of crowdlending.
Comparing the options
| Criterion | Unit-linked funds (assurance-vie, PER) | ELTIF | FCPR in a brokerage account | FPCI, SLP | Crowdlending |
|---|---|---|---|---|---|
| Minimum investment | About €1,000, sometimes less | No regulatory minimum; each fund sets its own minimum | €1,000 to €5,000 | 100 000 € | From €50 with Maclear |
| Fees | Fund and contract fees combined | Fund fees | Fund fees | Often lower | No management fees, commission on resale |
| Liquidity | Governed by the insurer, notice periods possible | Maturity or capped redemption windows | Locked in for 5 to 8 years | Long lock-in | Monthly repayments, secondary market |
| Loan selection | Delegated to the manager | Delegated to the manager | Delegated to the manager | Delegated to the manager | By you, loan by loan |
| Tax wrapper | Assurance-vie or PER | Brokerage account, sometimes assurance-vie or PER | Brokerage account | Brokerage account | Direct ownership |
| Target return | Fund target, gross | Fund target, gross | Fund target, gross | Fund target, gross | 14 to 16% gross at Maclear, before defaults |
Which solution suits your profile?
You want to delegate and benefit from the tax wrapper
If you want exposure to private debt without handling the selection yourself, and you already have an assurance-vie or a PER, private debt unit-linked funds are the most natural route. A professional manager builds a diversified portfolio, and the wrapper softens the tax burden over time.
The ELTIF plays a similar role, with a range of offerings that has been expanding rapidly since the reform. In both cases, take the time to read three lines of the information document: the total fees, the lock-up period, and the redemption rules.
You want to choose your loans and receive interest every month
If you prefer to know exactly who you are lending to, with short terms and interest paid every month, crowdlending is the most direct access to private debt. No management intermediary, a very low minimum investment, and gross returns well above those of funds.
In exchange, the work of diversification falls to you. Spreading €5,000 across 50 loans of €100 rather than 5 loans of €1,000 changes everything: a single default then represents 2% of your capital instead of 20%.
What share of your wealth should you allocate to it?
Private debt remains a risky, illiquid investment that is not meant to replace your emergency savings or your capital-guaranteed euro fund within a French life-insurance contract (fonds en euros). Most professionals limit it to a fraction of the unlisted portion of a portfolio, which itself amounts to between 5 and 15% of financial wealth for most savers.
Nothing prevents you from combining approaches: a private debt unit-linked fund in your assurance-vie, and a crowdlending allocation alongside it.
Private debt is one of several alternative investments : there we present the other options for diversifying beyond stocks and bonds.
Key takeaways
Buying private debt is no longer reserved for institutional investors. Five entry points exist today : unit-linked funds in assurance-vie and PER, ELTIFs, FCPRs in a brokerage account, professional funds starting at €100,000, and crowdlending.
They differ mainly on three points. The minimum investment ranges from €50 to €100,000. Fees can shrink a 7 or 8% gross target to 3 or 4% net. And the liquidity promised by semi-liquid funds remains subject to caps that can block your exit.
The right choice depends on what you want to delegate. On one side: management entrusted to a professional, plus the tax treatment of the wrapper. On the other: loans you pick yourself, short durations and monthly interest.
FAQ
Can an individual invest in private debt?
Yes. Since the 2024 ELTIF reform and the Green Industry Act, the options open to individuals have multiplied: unit-linked funds in an assurance-vie or a PER, ELTIF, FCPR, or crowdlending. Only professional funds remain reserved for sophisticated investors, with a minimum ticket of €100,000.
What is the minimum amount to buy private debt?
It all depends on the entry point. Expect around €1,000 for a unit-linked fund, €1,000 to €5,000 for an FCPR, and €100,000 for a professional fund. ELTIF no longer have a regulatory minimum, but each fund can set its own. In crowdlending, you can start from €50 at Maclear.
Can you hold private debt in an assurance-vie or a PER?
Yes, if your contract lists private debt funds among its unit-linked funds. It is even increasingly common, since the Green Industry Act requires a share of unlisted assets in the managed portfolios of new contracts. Check the list of available funds with your insurer.
How much does private debt return after fees?
European senior debt funds generally target 6 to 10% gross per year. Once the fund's fees, the wrapper's fees and taxes are deducted, the net return is often around 3 to 5%. These are targets, not guarantees.
Can you get your money back before maturity?
Not always. Closed-end funds lock up your capital for five to eight years. Semi-liquid funds allow periodic redemptions, but they are capped. In crowdlending, short loans repay part of the capital every month, and selling before maturity goes through a secondary market, with no guaranteed buyer.
Is crowdlending private debt?
Yes. Lending to a company through a crowdlending platform means financing unlisted debt, outside the banking system. The difference from a fund lies in the intermediary: you choose the loans yourself instead of entrusting that selection to a manager.
Buying private debt has become possible for almost every saver. The real question is no longer "Can I access it?" but "Through which door, and at what price?" Between delegating to a fund and lending directly, the tickets, fees and liquidity have almost nothing in common. And you? Do you prefer to entrust the selection to a manager, or to choose for yourself whom you lend to?
Maclear AG is a Swiss peer-to-peer (P2P) lending and crowdlending platform, headquartered in Switzerland. The company acts as a financial intermediary in the non-banking sector and is a member of PolyReg SRO, in accordance with Swiss financial regulations, particularly regarding AML, KYC, and GDPR. Maclear provides individual and qualified investors access to carefully selected business loan opportunities, with integrated risk assessment, a Provision Fund, and a Secondary Market for liquidity.
The content of this article is provided for informational and educational purposes only. It does not constitute investment, financial, tax, or legal advice. Peer-to-peer (P2P) lending and crowdlending investments carry a risk of partial or total loss of capital. Past performance does not predict future results. Liquidity on a secondary market is not guaranteed. Readers are encouraged to conduct their own research and consult qualified advisors before making any financial decisions. The availability of products and services may be restricted in certain jurisdictions.