Oaktree's Global Credit Strategy: Risks and Opportunities

We're going to be digging a little bit deeper into some specific risks and opportunities that Oaktree is seeing across credit markets today. For this discussion, I'm joined by Danielle Polly, Assistant Portfolio Manager of Oaktree's Global Credit Strategy. So for years, private equity firms have thrived on access to easy credit. Their simplified playbook has been find a company to buy, borrow most of the money to do it, and then cut costs to make a profit. And especially in the last decade leading up to 2022, many private equity backed companies financed their leveraged buyouts by borrowing heavily in both the broadly syndicated loan market and the private credit market. We've seen such a dramatic