BOND INVESTORS COULD TURN ON AI COMPANIES
Bond markets may grow impatient with AI firms if their massive investments don’t generate clear returns, warns Michel Saugne, CIO at La Financiere de l’Echiquier.
Investors will expect companies to prove they can monetize AI spending, or risk skepticism as they raise debt to fund growth. Saugne likens it to selling “picks and shovels” in a gold rush—you need proof there’s gold to be found.
They could, but not today.
$GOOG 15B bond issue attracted 100B investor interest.
#AI
Bond markets may grow impatient with AI firms if their massive investments don’t generate clear returns, warns Michel Saugne, CIO at La Financiere de l’Echiquier.
Investors will expect companies to prove they can monetize AI spending, or risk skepticism as they raise debt to fund growth. Saugne likens it to selling “picks and shovels” in a gold rush—you need proof there’s gold to be found.
They could, but not today.
$GOOG 15B bond issue attracted 100B investor interest.
#AI