DoubleLine's Cohen Warns of AI Debt Bubble Fears

DoubleLine Capital warns of a bubble in AI funding, cautioning investors to be cautious when financing the boom in artificial intelligence. The company's director of global developed credit, Robert Cohen, notes that new financial structures like off-balance-sheet constructions and unknown profitability of massive investment projects pose risks. He warns of potential oversupply and problems for adjacent industries like energy and chemistry. Despite his concerns, Cohen expects strong demand for AI-related bonds from investors.