Blue Owl caps the amount investors can withdraw from two of its retail-focused funds
Federal Reserve chair Jerome Powell played down risks. Photo: Bloomberg
Niket Nishant and Joel Jose
ReutersToday at 19:51
America’s private credit industry is facing a period of higher borrower defaults, several brokerages warned on Thursday, exposing cracks in what had become one of Wall Street’s favourite trades in recent years.
While the recent stress in the industry is unlikely to trigger a systemic crisis, analysts expect growth to moderate as AI disrupts software companies, which account for a major chunk of private-credit portfolios.