Excess Returns · Thursday, September 3, 2026
Ben Hunt highlights potential risks in the shadow banking system, particularly concerning captive insurance organizations. He cites Mark Walters' purchase of sports teams as an example of how these entities can be used for funding, with potential for significant losses.
“So the first big problem. Okay. That's issue number one.”
“It comes to light that he made those purchases by getting loans from let's call it captive insurance organizations or captive insurers that he controls through Guggenheim partners.”
“And the thing that makes this story into a really nasty event is if we have actual losses that get attached to one of these big insurance firms.”