Marathon’s Chairman Refuses to Buy Software, Predicting Defaults

Bruce Richards of Marathon Asset Managemen.

Photographer: Michael Nagle/Bloomberg

Marathon Asset Management LP is staying away from software for now as its chairman Bruce Richards predicts default rates of around 15% for two coming consecutive years.

As AI disruption casts a shadow over software loans, roiling the $1.8 trillion private credit market, Richards said it’s better to invest in hard assets instead.