The Journal. The Wall Street Craze Jamie Dimon Can’t Resist. Even If It Blows Up.
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Jul 23, 2025 
In this engaging discussion, WSJ journalist Alexander Saeedy dives into JPMorgan Chase's bold strategy on private credit, a rising star on Wall Street. He explores the contradictions of a major bank investing heavily in this risky market, despite warnings of potential financial chaos reminiscent of the 2008 crisis. Saeedy highlights how private credit is challenging traditional banking and the implications for investors' retirement plans. His insights raise critical questions about the stability of financial systems as they embrace such volatile investments.
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Dimon's Warning on Private Credit
- Jamie Dimon warns private credit has signs of a financial crisis like mortgages before 2008.
- Despite the warning, JPMorgan heavily invests in private credit, showing mixed signals.
What is Private Credit?
- Private credit means lending done by private funds, not banks, making it largely unregulated.
- These funds operate like "shadow banks," filling gaps left by traditional banks.
Private Credit Replaces Bank Lending
- After 2008, banks became more regulated and pulled back from risky loans.
- Private credit funds stepped in to lend riskier loans at higher rates, filling market gaps.