Investing in U.S. Consumer Credit: Unlocking Opportunity in a Changing Financial Landscape
By Alan Rios
U.S. consumer credit is a foundational pillar of economic activity. From credit cards and auto loans to mortgages and student loans, consumer borrowing fuels growth, drives spending, and supports financial flexibility for millions of Americans. For investors, this market presents a timely opportunity—particularly through private credit channels that offer enhanced returns and greater control over risk. As banks tighten underwriting standards and pull back from higher-risk segments, private credit is stepping into the gap, providing capital to underserved markets and creating high-yield investment opportunities.
Stratus Financial Fund I operates at the intersection of this transformation, applying disciplined underwriting, robust borrower screening, and a specialized focus on Purpose Loans—particularly those designed to finance professional training in aviation. This tailored approach captures the strength of the U.S. consumer credit market while addressing niche segments with outsized potential.
The Evolution of Consumer Credit: A Historical Perspective
Consumer credit in the U.S. has undergone significant transformations over the past several decades. In the post-war era, credit access expanded dramatically as consumer lending became a mainstream financial tool. The introduction of FICO scores in 1989 revolutionized creditworthiness assessment, allowing lenders to scale credit decisions with greater precision.
During the 2008 financial crisis, consumer credit markets experienced a sharp contraction, with banks tightening lending standards and reducing exposure to higher-risk borrowers. This created an opportunity for alternative lenders to enter the space, pioneering new underwriting models and leveraging technology to assess borrower risk more effectively.
Fast-forward to today, and private credit plays a crucial role in filling gaps left by traditional banks. Stratus Financial’s Purpose Loans reflect this broader trend by providing structured financing solutions tailored to high-demand career paths, ensuring sustainable credit expansion while mitigating risk.
Private Credit: A New Engine of Consumer Finance
As traditional lenders respond to regulatory pressure and capital constraints, private credit is expanding rapidly. Now a $1.5 trillion market, private credit enables flexible capital deployment across sectors—including consumer finance. Investors are increasingly drawn to this asset class due to its potential for strong returns, diversification benefits, and lower correlation with public markets.
Historical Growth of Private Credit
Private credit has grown exponentially since the 2008 financial crisis, largely due to regulatory changes that forced banks to curtail riskier lending. According to Preqin, private credit assets under management have grown at an annualized rate of over 10% since 2010. The ability of non-bank lenders to provide tailored credit solutions continues to drive market expansion.
In this context, private credit funds offer several key advantages:
Custom loan structuring
Direct borrower relationships
Negotiated protections and covenants
Floating-rate exposure in a rising-rate environment
The result is a segment of the fixed-income market that delivers higher yields, better underwriting transparency, and superior investor control.
Institutional Investor Interest in Private Credit
Large institutional investors—such as pension funds, sovereign wealth funds, and hedge funds—have increasingly embraced private credit as a core component of their portfolio strategy. This surge in institutional demand stems from a need for income-generating assets with lower correlation to traditional markets.
Private credit offers institutional players exposure to customized lending structures, enhanced due diligence, and attractive yields not typically available in public bond markets. According to McKinsey & Company, institutional allocations to private credit have grown significantly in recent years, driven by consistent double-digit returns and portfolio diversification benefits.
Stratus Financial Fund I’s emphasis on Purpose Loans positions it as a compelling option for institutions seeking stable, socially impactful investment opportunities. As the fund scales, institutional capital can support further growth and innovation in niche lending verticals.
Consumer Credit and the Broader U.S. Economy
Consumer credit is not just a financial product—it is a macroeconomic lever. When credit is readily available, consumer spending increases, stimulating economic activity and business growth. Conversely, when credit tightens, households reduce spending, contributing to slower economic expansion.
In the U.S., consumer spending accounts for nearly 70% of GDP. Access to credit allows households to smooth consumption, invest in education or transportation, and recover from unexpected expenses. Therefore, changes in consumer credit conditions can serve as early indicators of broader economic health.
Private credit, including Purpose Loans, plays a key role in ensuring continued access to credit—particularly in times of economic uncertainty when traditional banks may retreat. By supporting borrowers in high-opportunity sectors like aviation, private lenders help sustain economic momentum and workforce development.
Purpose Loans and Career Acceleration in Aviation
Becoming a commercial airline pilot is a significant financial undertaking. From private pilot certification to commercial multi-engine and ATP licensing, the total cost of training can exceed $100,000. These costs—often incurred in a short timeframe—are prohibitive for many aspiring aviators.
At the same time, the financial return on investment can be substantial. Regional airline pilots typically begin their careers earning $60,000 to $90,000 annually, with major airline pilots earning well into six figures as they gain seniority. According to industry projections, some captains at major airlines can earn over $300,000 annually. The high demand for pilots, compounded by a wave of retirements and global growth in passenger travel, makes commercial aviation one of the most promising and stable career paths.
Purpose Loans from Stratus Financial provide a critical bridge, offering super prime borrowers access to the training they need to enter a career with strong income potential and long-term financial stability. These loans are uniquely structured to align with the borrower’s career progression, reducing financial stress and accelerating upward mobility.
Risk Management in Private Consumer Credit Investing
While private credit presents attractive returns, it is essential to understand the associated risks and mitigation strategies. Key risk factors include:
Credit Risk: Borrower defaults can impact portfolio performance. Stratus Financial employs rigorous underwriting, ensuring high borrower FICO scores and stable income streams.
Liquidity Risk: Unlike publicly traded bonds, private credit investments are less liquid. Investors should align their capital commitments with expected time horizons.
Regulatory Risk: Shifts in lending regulations and consumer protection laws can impact returns. Funds must remain adaptive to evolving policy landscapes.
By incorporating robust risk assessment models, active loan monitoring, and conservative lending criteria, private credit funds can deliver consistent, risk-adjusted returns.
The Irreplaceable Value of Human Expertise in Aviation
For savvy investors across industries, artificial intelligence (AI) is top of mind—both for the innovation it promises and the disruption it brings. In recent years, the acceleration of AI adoption has created redundancy in certain roles across healthcare, finance, logistics, and manufacturing, sparking broader discussions about which professions are most future-proof. As AI reshapes job markets and automates tasks once considered irreplaceable, questions about long-term career security have become increasingly relevant in investment decisions. Many sectors are already experiencing workforce shifts due to automation, prompting investors to evaluate the durability of careers supported by their capital.
In aviation, AI is transforming various aspects of pilot training and recruitment, offering enhanced flight simulations, personalized learning experiences, and data-driven performance assessments. However, the automation provided by AI cannot replace the indispensable expertise and real-time decision-making abilities of human pilots. While AI-driven systems contribute to safer and more efficient flight operations, they are best utilized as complementary tools rather than replacements for human oversight.
The aviation industry remains deeply reliant on skilled pilots, and the cultural and regulatory landscape does not favor removing human decision-makers from the cockpit. The two-pilot system currently in place ensures a critical layer of redundancy, judgment, and adaptability—qualities that AI, no matter how advanced, cannot replicate. Passenger trust and comfort in air travel heavily depend on human expertise, reinforcing that while AI may enhance pilot capabilities, it will not replace them. The technology is still far from advanced enough to safely and reliably replicate the complex, split-second decision-making required in the cockpit. Even when such advancements become technically feasible, it is highly unlikely that the average traveler would feel comfortable stepping onto an aircraft knowing no human pilot is at the yoke. (source: Brookfield Aviation).
Quantifying Performance: Purpose Loan Metrics
Stratus Financial Fund I maintains rigorous underwriting standards that reflect both high borrower quality and long-term repayment behavior. The following shows the most recent portfolio data:
Average borrower FICO score exceeds 750 (Super Prime as defined by the CFPB)
Cumulative returns of 57% over the last 4 years
95% performance rate (cumulative defaults remain below market standards)
According to the May 2023 Occupational Outlook Handbook from the Bureau of Labor Statistics, the average annual salary for commercial pilots is $113,080. For airline pilots, copilots, and flight engineers, the median annual wage is significantly higher at $239,200. Beyond their base earnings, pilots often receive comprehensive benefits packages, including health, life, and disability insurance, as well as retirement plans. In many instances, these benefits surpass those typically offered in other professions.
These figures highlight the financial strength of borrowers and the fund’s ability to maintain a low-risk, high-performance portfolio, reinforcing its resilience in the private credit market. (source: ATP, Stratus Financial)
Leadership Perspective
“Our investment approach is grounded not only in offering attractive returns but also in supporting the next generation of commercial pilots by lowering the barriers to entry for a lucrative career in aviation. By financing professional training for super prime borrowers—individuals with stable incomes or sufficient assets and a clear path to upward mobility—we’re helping build careers while creating a resilient, high-performing credit portfolio.”
— Brandon Martini, Co-Founder & COO of Stratus Financial
Conclusion: Aligning Strategy with Opportunity
The U.S. consumer credit market continues to stand as one of the most dynamic and resilient asset classes, underpinned by its scale, accessibility, and direct link to macroeconomic activity. Amid evolving regulatory landscapes and shifting institutional priorities, private credit has emerged as a structurally significant force in bridging capital gaps—especially in sectors underserved by traditional banking. Within this paradigm, Stratus Financial’s focus on Purpose Loans not only delivers attractive, risk-adjusted returns but also generates measurable economic and social impact.
By financing high-potential, super prime borrowers in aviation—a sector characterized by long-term career stability and strong income trajectories—Stratus aligns capital with upward mobility. This dual mandate of performance and purpose exemplifies a modern investment thesis: one that blends disciplined credit underwriting with strategic human capital development.
As private credit matures and investor appetite deepens, purpose-driven lending models such as Stratus’s will be instrumental in defining the next chapter of financial innovation. In doing so, they enable investors to participate in both the structural transformation of consumer finance and the empowerment of a new generation of skilled professionals.
Explore how Purpose Loans are reshaping private credit, funding the future of commercial aviation, and driving the next era of financial growth at https://stratusfinancialfund.com.
About the Author
Alan Rios
Chief Investment Officer, Stratus Financial
Co-host, Alternative Income Blueprint Podcast
For the last 8 years, Alan has accumulated a deep and recognized reputation in the banking industry. His career spans global banking, where during his last role at Citigroup, he served as Vice President for Citi’s North America Global Family Office Group while based in New York. In this role, he catered to the firm’s top private banking clients by providing them institutional banking access and facilitating capital raises.
Presently at Stratus, Alan heads investor relations and Capital Markets efforts. In this role he manages equity and debt investors, contributing to the fund’s operations and growth. At the same time, Alan actively explores opportunities to integrate the fund’s private credit offering into larger institutions and expand its investor base with a strategic approach to transformational growth.
Alan is also the co-host of the Alternative Income Blueprint podcast, which explores unique investment opportunities that go beyond traditional stock, bond, and real estate markets. The show focuses on strategies that not only offer attractive returns but also contribute to meaningful causes.
Alan holds a bachelor’s degree in Finance from the McCombs School of Business at University of Texas at Austin with a focus on banking and capital markets. Outside of the financial industry, Alan curates private communities of investors, industry leaders and collectors with a passion for cultural pursuits, particularly in the contemporary art world.
Alan Rios
Chief Investment Officer, Stratus Financial
Co-host, Alternative Income Blueprint Podcast
Stratus Financial Fund I is a private credit fund offering investors access to compelling returns by financing flight training for careers in commercial aviation. Backed by Stratus Financial’s deep industry expertise and a network of over 300 flight school partners nationwide, the fund targets an underserved, $2 billion market. Investors gain exposure to a high-performing alternative asset class—while helping the next generation of pilots take flight.
