Program and guest

A Bloomberg interview with Greg Peters, co-chief investment officer of PGIM Fixed Income. Original English title: Investors Are Using Bonds to Hedge Against AI: Peters.

Key points

  • Investment in power supply for AI has driven investment-grade bond issuance to an annual record 0:25
  • Investors are using Treasuries as a hedge against the AI story; this is happening now 1:55
  • The details of products such as investment-grade corporate bonds matter; it is not enough to look only at the direction of broad asset classes 2:54
  • After the midterm elections, the two parties appear to agree on slowing data center construction, which could slow both economic growth and the AI buildout 5:12

Background and notes

This article sets out Peters’s views on bond-market hedging from his Bloomberg interview, covering the investment-grade bond market, the midterm elections and the pace of AI buildout. The subtitles cover 0:00–6:02 (full length: 6:02), covering the entire video. The views and timestamps are paraphrased from the original subtitles; each timestamp marks the start of the segment containing the corresponding remarks.

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