Pimco President Says Private Credit Buyers Are ‘Blind’ to Risks

Investors underestimate the hazards when chasing fat yields in private credit, according to Pacific Investment Management Co.

“There’s a lot of additional credit risk that people are often taking in some of these private situations that you kind of turn a blind eye to,” said Christian Stracke, the $2.3 trillion asset manager’s president, on the latest Bloomberg Intelligence Credit Edge podcast.