Oaktree Sees Brew of China, Oil, Greece Cracking Markets

The past few years have been frustrating for the world’s biggest distressed-debt investor, as soaring markets kept companies clear of trouble. For Oaktree Capital Group LLC, its time to shine is getting closer as China, commodities, Greece and Puerto Rico threaten to crack markets.

“Relative tranquility belies the fact that there’s still plenty to worry about,” Bruce Karsh, Oaktree’s co-chairman, said Tuesday on a conference call with the firm’s investors. “The U.S. economy recovery remains tepid, interest rates are poised to rise sometime in the coming year and the global economic environment is quite unsettled with the overhang of the Greek debt crisis and the slowing Chinese economy.”