Bond markets are now funding the AI boom. History tells us that's a warning sign

The world’s biggest technology companies are burning through their once-abundant cash reserves to fund the AI arms race.

Increasingly, they’re turning to debt markets to fund the buildout.

That means the most speculative part of the market is finding its way into defensives.

So what does that mean for advisers and their clients?

Fixed Income Director at Capital Group, Haran Karunakaran, joins Ally to explain:

What previous debt-fuelled booms can teach usThe warning signs emerging in credit marketsWhy this cycle could still play out differently

Chapters:

00:00 AI’s Debt-Fuelled Boom

03:53 Lessons From Past Bubbles

05:57 Cracks in Credit Markets

09:12 Is Credit an AI Hedge?

12:08 How Credit Investors Analyse AI