Goldman Sachs Pitches Hedge Funds New Swap Trade to Bet Against Software Loans Amid AI Fears
Goldman Sachs is offering hedge funds a way to go long or short on corporate loans, according to a person familiar with the matter who spoke to Reuters. The new angle: a total return swap—this derivative lets investors bet on a loan’s price swings without actually holding the debt. No trades have gone through yet. AI-related jitters are filtering into credit, with software-sector loans on the radar. Goldman said it partners with clients on trading ideas across asset classes, regardless of market backdrop.
