Ex-Mellon CIO Seeks $250 Million for Big Short on Corporate Debt
- Money manager expects recession to fuel wave of credit woes
- Complacent market is offering ‘once in a lifetime’ opportunity
David Daglio, the former chief investment officer of Mellon Investments, is on a $250 million fund-raising drive to power his new bearish investment fund that’s going all-in on credit market stress.
The veteran reckons an oncoming US recession will spark a fresh wave of corporate downgrades and debt defaults, with risk premiums for investment-grade firms more than doubling.