PIMCO CEO Emmanuel Roman said AI-related financing could total roughly $10 tln over the next five years and may exceed reasonable levels. He estimates about $2 tln a year in new financing demand for capex, versus a U.S. bond market of roughly $12 tln. Roman warned an economic downturn will eventually occur and could trigger collapses, citing potential triggers such as U.S. rate rises, a Middle East war or a euro-area crisis. When asked whether excessive caution or excessive risk-taking is the bi

PIMCO CEO Emmanuel Roman said AI-related financing could total roughly $10 tln over the next five years and may exceed reasonable levels. He estimates about $2 tln a year in new financing demand for capex, versus a U.S. bond market of roughly $12 tln. Roman warned an economic downturn will eventually occur and could trigger collapses, citing potential triggers such as U.S. rate rises, a Middle East war or a euro-area crisis. When asked whether excessive caution or excessive risk-taking is the bigger mistake, he said taking too much risk is more dangerous. Blackstone president Gray said current market skepticism may be healthy but that AI’s trajectory will drive further investment and materially higher capital demand.