Apollo Explains How Big Tech Is Disrupting Credit Markets

Odd Lots

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4.4 • 1.6K Ratings

🗓️ 14 October 2024

⏱️ 50 minutes

🔗️ Recording | iTunes | RSS

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Summary

Big tech stocks have had an enormous impact on the stock market, with Magnificent 7 companies like Apple, Microsoft and Nvidia now dominating equity indices and basically dictating the path of benchmark returns. And of course, there's been loads of discussion about the real transformational value of AI and whether it's all going to end up being one big bubble. But tech investing and big disruptive trends like AI aren't just for equity investors. They're playing out in the credit market, too. And of course, building the data centers and producing the chips that power AI requires huge amounts of capital — much of which is sourced via bonds and loans. Increasingly, a lot of that capital is coming from private credit players, one of the biggest of which is Apollo Global Management. In this episode, we speak with Rob Bittencourt, a partner at Apollo and co-head of opportunistic credit, about how the tech story is playing out and what Apollo is doing in the space.

Read More: Private Credit to Outperform in a Downturn, Apollo’s Zelter Says

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0:00.0	As a real estate manager, principal asset management harnesses the power of a 360 degree perspective,
0:05.7	delivering local insights and global expertise across public and private equity and debt.
0:11.2	Their teams apply local insights and global perspectives to help
0:14.4	identify the most compelling investing opportunities. Principal asset
0:18.2	management actively invested. Learn more at principal AM.com. Investing involves risk including possible loss of
0:25.9	Principal Asset Management SM is a trade name of Principal Global Investors
0:30.3	LLC. Join us in London or via live stream on November the 14th for Bloomberg's winning the innovation game,
0:38.0	Modernizing IT without disruption event and networking reception.
0:42.0	This event will gather executives to share
0:44.4	experiences and provide insights into strategies for implementing groundbreaking
0:48.8	AI, cyber security and data management technologies that will transform your workplace.
0:54.5	This program is proudly sponsored by Rocket Software.
0:57.8	Register at Bloomberg Live.com.
1:00.4	Innovation. slash innovation. Bloomberg Audio Studios.
1:06.0	Podcasts, radio news. Hello and welcome to another episode of the Odd Lots Podcast, I'm Joe Wiesenthall.
1:25.0	Joe, do you remember those stories?
1:29.0	I guess they were a bigger deal earlier this year, but they're still kind of out there the stories about how the
1:34.5	stock market is all about the big tech companies yeah absolutely so I mean it still
1:41.1	is but I think like at one point earlier this year there was a number that caught my eye I think it was like 30% of the S&P 500 came from the mag, Alphabet, Microsoft, Invidia, and all of those.
1:55.3	And I guess as all the hype and interest over AI
1:59.6	has grown, the importance of tech companies in the equity market has increased in size
2:05.5	along with it totally you know what I think is an interesting stat we're
	...

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