“The thing that really keeps me awake at night is the likelihood of a number of risks crystallising at the same time – a major macroeconomic shock, confidence in private credit goes, AI and other risky valuations readjust – what happens in that environment and are we prepared for it?” she said.
The US stock market is home to the world’s biggest companies and has set a series of all-time highs recently despite warnings from the International Energy Agency that the world economy is facing the biggest energy shock in history.
Technology firms have poured hundreds of billions of dollars into AI infrastructure prompting some, including Microsoft founder Bill Gates to call it “a frenzy” that resembles the dotcom bubble of the late 1990s, when investors threw money at unproven start-ups that quickly went bust or had billions wiped off their value.
Nvidia boss Jensen Huang, the biggest supplier of chips to AI companies, is among those to dismiss these concerns.