This chapter explores the topic of private credit and its potential risks. It discusses why private credit exists and how it differs from traditional banking. It also highlights the concern that private credit is highly correlated with stocks, leading to a lack of diversification and increased vulnerability in economic downturns.
On this edition of Bloomberg Businessweek, hosts Paul Sweeney and Matt Miller speak with Daniel Barel, CEO of REE Automotive, Chris Heller, co-founder of Cordillera Investment Partners, Nicola Hancock, Managing Director of the Americas at AMS, Vinh Vuong, CEO at Garrison Fathom and Vuong Holdings, and Nick Venditti, Senior Fixed Income Portfolio Manager at Allspring Global Investments.
Producers: Eric Mollo, Paul Brennan, Ariel Agami, Sara Livezey
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