The private equity and private credit boom of end-2021 has led to policy interventions where banks and insurance companies may be forced to buy more Treasury bonds and government bonds, and eventually central banks will have to take over many bank balance sheets to keep the system functioning.

forecastpending

Speaker

Felix Zulauf

Evidence Quote

Perhaps the banks must buy more treasury bonds, government bonds, uh insurance companies, pension funds, etc. and things like that. And eventually, a lot of the debt will end up on the balance sheet of the central bank because eventually, the central banks have to take over a lot of banks. You know, to keep the system functioning.

Source

Jeffrey Gundlach and Felix Zulauf: The Second Inning of a Major ShiftDoubleLine Capital
Created: 8/12/2026, 6:25:56 PM

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