Day 2 From the Milken Institute Global Conference | The Close 5/5/2026

Summary

Day 2 of Bloomberg's special coverage from the Milken Institute Global Conference features interviews with top asset managers and industry leaders discussing private credit jitters, the AI infrastructure buildout, energy demand, and record-high equity markets. Key themes include the opportunity in distressed credit, the need for energy investment to support AI, and the growing interest in diversifying away from US markets. The S&P 500 closed at an all-time high amid resilient earnings and falling oil prices.

• Private credit faces redemptions and scrutiny, but many managers see opportunity in distressed and new vintage lending.
• AI infrastructure buildout requires massive capital, with data center debt deals becoming a key asset class.
• Energy demand from AI and electrification is driving investment in power generation and grid infrastructure.
• Equity markets continue to rally to record highs, supported by strong earnings and limited supply of stocks.
• Geopolitical risks, including the Middle East conflict and oil shock, remain a concern but are not yet fully priced in.
• Managers emphasize the importance of manager selection and disciplined underwriting in private credit.
• There is a structural shift toward geographic diversification, with Europe and Japan gaining interest from investors.
• The Fed's future policy under Kevin Warsh is a major topic, with expectations of a more analytical approach.