Private Loans and Real Estate Bets by U.S. Freshman Legislators: A Choice for 'Safe High Returns'?
U.S. Representative Sheri Biggs disclosed in a June 9 filing that she purchased four private alternative investment products during April and May. Each investment ranged from $1,001 to $15,000, and all four positions are diversified across private credit, real estate and life-science strategies.
The most notable holding is Apollo Debt Solutions BDC (ADS), an unlisted business development company managed by Apollo. ADS specializes in senior secured loans to large private U.S. companies and pays monthly distributions. Although its net asset value (NAV) has declined by roughly 1% from the mid-$24 range to $23.90 as of March 31, the fund continues to offer an 8%-ish distribution yield amid today’s high-interest-rate environment. In early June, S&P reaffirmed its BBB- rating on ADS with a stable outlook. This move aligns with Biggs’s recent disclosures showing increased allocations to Treasuries and other conservative income vehicles.
On the real-estate side, Biggs added shares of KKR Real Estate Select Trust (KRSOX), an unlisted REIT managed by KKR. The trust holds diversified assets in U.S. and European logistics, multi-family and commercial properties. As of year-end 2025, its NAV stood at $23.45 per share, and Class U shares delivered a net distribution yield of about 5.86% through April 30, 2026. However, mark-to-market adjustments in commercial real estate values and higher financing costs have spurred redemption requests. In the most recent quarterly tender offer, only about half of the requested redemptions were fulfilled, underscoring emerging liquidity-management challenges.
Biggs, a first-term Republican representing South Carolina’s 3rd District, serves on the House Foreign Affairs, Homeland Security and Science, Space and Technology committees. She is known as a hawkish advocate on defense and industrial policy, having championed legislation such as the Made-in-America Defense Act. Because the Apollo and KKR private funds can indirectly hold loans and assets tied to defense, infrastructure and energy companies, her investments may pose potential conflicts of interest given her committee roles and budgetary oversight.
Under the STOCK Act, members of Congress must report such transactions within 45 days, which Biggs has done. Still, with roughly 70% of U.S. voters backing a ban on individual stock trading by lawmakers and bipartisan proposals under discussion to prohibit these trades, her disclosures may invite heightened regulatory scrutiny and political criticism.