Fed’s Cook Says Private Credit Hasn’t Hurt Financial Resilience
- Private credit funds positioned to hold risky corporate loans
- Cook says she’s watching auto, credit-card delinquencies
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Federal Reserve Governor Lisa Cook said the rise in lending by nonbank investment firms bears watching but doesn’t appear to have created excessive risk for the financial system.
“The growth of private credit likely has not materially adversely affected the financial system’s resilience,” Cook said at an event held by the Brookings Institution on Wednesday.