Ex-Goldman CEO Blankfein Warns of ‘Fire’ Risk in Private Markets

The accumulation of unsold private assets on investors’ balance sheets is a warning that some may be overvalued — and a spark could trigger a widespread markdown, according to Lloyd Blankfein, former chief executive officer of Goldman Sachs Group Inc.

“At some point there needs to be a forcing function or a reckoning that causes you to come to grips with what your balance sheet really is worth,” Blankfein said in a Bloomberg Television interview with Francine Lacqua.