Private credit

There are two monster debtors out there — the AI industry and the U.S. government. Is the credit market big enough for the both of them?

A new Federal Reserve Bank of Boston report shows bank lending to private credit has grown over the past decade, though insight into the opaque lending market is limited.

Investors in a panic about private credit valuations need to draw a distinction between funds backing AI-threatened software companies and those whose collateral includes the hard assets of frontier AI companies themselves.

Restrictions that limit access to private market investments are harmful to ordinary investors, who are denied better returns. They also seal off a large potential source of funding for long-term infrastructure investments.

Insurance companies are increasingly shifting their assets into offshore vehicles, where they are being used for…what exactly? We don't know, and that's the problem.