Reported 1 day ago
Hedge funds are betting against private credit lenders in the U.S., capitalizing on growing economic pressures and rising borrower strain. So far this year, short sellers have made about $1.7 billion from bets against major direct lenders like Apollo and Ares, as concerns linger over loan valuations and borrowers' credit quality amidst policy uncertainty. While some alternative asset managers express optimism about their resilience in a recession, the recent downturn in shares of asset managers signals caution in the market.
Source: YAHOO