E76: Private Credit: What Goes Up, Must Come Down
KEY TAKEAWAYS
- The private credit market is navigating rising default rates and significant disruption from AI's rapid infiltration across various sectors impacting company performance and liquidity
- Citi's Stress Indicator offers crucial insights into potential defaults and liquidity conditions enabling better navigation of market opaqueness and evolving financial landscapes
- Companies must strategically adapt to AI's long-term impact on business models and capital raising as its influence will continue to unfold over several quarters
Rob Rowe, Citi's Global Head of Research, sits down with Michael Anderson, Head of Global Credit Strategy, to discuss the state of private credit, which is beset by concerns ranging from potential defaults and geopolitical uncertainties to the impact of AI and the prospects of higher rates.
This podcast contains thematic content and is not intended to be investment research. Nor does it constitute financial, economic, legal, tax or accounting advice. This podcast is provided for information purposes only and does not constitute an offer or solicitation to purchase or sell any financial instruments. The contents of this podcast are not based on your individual circumstances and should not be relied upon as an assessment of suitability for you of a particular product, security, or transaction. The information in this podcast is based on generally available information and, although obtained from sources believed by Citi to be reliable, its accuracy and completeness are not guaranteed. Past performance is not a guarantee or indication of future results. This podcast may not be copied or distributed, in whole or in part, without the express written consent of Citi. © 2026 Citigroup Global Markets Inc. Member SIPC. All rights reserved. Citi and Citi and Arc Design are trademarks and service marks of Citigroup Inc. or its affiliates and are used and registered throughout the world.
Rob Rowe, Global Head of Research, Citi
Rob Rowe is the Head of Citi Research’s Global Strategy & Macro Group (GSMG) as well as the Global Head of Citi Research. GSMG unites all of Citi’s Economists with Fixed Income, FX, Equity and Commodities strategists to create a common team providing research on the world’s major economies and asset classes. Rob has been with Citi for 35 years in various capacities. He originally joined Smith Barney, Harris Upham & Company in 1989 working in investment banking, fixed income sales, and research. In addition to his overall responsibilities, he continues to provide portfolio strategy for select clients as part of his previous role overseeing the Global Bond Portfolio Analysis team. Rob is a graduate of Hartwick College with a BA in European History and the Theatre. He is also a graduate of the American Academy of Dramatic Arts.
Michael Anderson, Global Credit Strategy Head, Citi
Michael Anderson heads the Global Credit Strategy team at Citi Research and is based in New York. In addition to managing the team, he is the firm’s High Yield and Leveraged Loan Strategist. Michael rejoined Citigroup in 2017, having previously served as Citi’s High Yield and Leveraged Loan Strategist from 2010 to 2015. From 2015 to 2017, he was employed at Blackstone’s GSO Capital Partners and led the firm’s Relations and Market Strategy (IRMS) team. He served as the firm's strategist, helping in asset allocation as well as portfolio construction. Further he marketed the firm's institutional and retail products. Prior to 2010, Michael was a senior strategist at Lehman Brothers and at Barclays, following Lehman's bankruptcy. Prior to being a strategist, he worked in the Index Products team at Lehman Brothers. He began his career at BlackRock Inc in 1994. As a sell side analyst, Michael has been consistently ranked on the Institutional Investor All America Fixed-Income Research Team. Michael received a Bachelor of Science in Systems Engineering and a Bachelor of Science in Economics from the University of Pennsylvania and an MBA from the University of Texas at Austin.
