Prof G Markets · Monday, July 27, 2026
The risk associated with big tech's off-balance sheet debt is being transferred to private credit funds, which in turn are often underwritten by institutional investors like teacher's retirement accounts. This means ordinary citizens' pensions could be underwriting tech companies' operational costs.
“What they've done with that $1.8 trillion of debt is they have offloaded the risk onto someone else, specifically the private credit funds.”
“If you reach far enough into the barrel, or reverse engineer far enough into the barrel, what you find is that a teacher's retirement account is underwriting Zuckerberg's GPU bill.”