Goldman Sachs’ asset management division has taken an underweight position on the biggest borrowers in the artificial intelligence sector, known as hyperscalers. The firm expects these companies to issue significant amounts of debt to fund the substantial capital spending needed to develop AI.
Lindsay Rosner, the firm’s head of multi-sector fixed income investing, said Goldman Sachs remains confident in AI’s long-term potential. But the expected volume of new bonds could lead to a repricing in that part of the market.
The cautious stance reflects concerns about debt supply, not pessimism about the AI outlook.