Ken Moelis Worries About the Economy Having to Cover Leverage

The video discusses the inevitability of market corrections and the potential performance of private assets during such times. It highlights the importance of liquidity and the risks associated with leverage, especially in corporate America. The speaker warns against excessive leverage, citing historical examples and the need for economic recalibration post-pandemic. Hidden risks in the financial system are also explored, emphasizing caution in investment strategies.

What factors do you think will influence the performance of private assets during market corrections?

How does the concept of liquidity play a role in market corrections according to the text?

What are the potential risks associated with high levels of leverage in corporate America?

In what ways might the economy need to recalibrate after the pandemic according to the discussion?

What hidden risks might emerge when the market experiences a downturn?