CQS’s Pappas Sees 'Sell Button' Creating Distressed Opportunities

The video discusses distressed investing in a low default environment, highlighting opportunities in non-performing loans and the growth of the credit market since the financial crisis. It examines the economic outlook, noting central banks' accommodative policies and the potential for future downturns. Vulnerable industries like oil and gas and retail are identified, and the impact of passive management on market dynamics is explored, emphasizing the importance of following investments in a volatile market.

Which industries does Nick believe are most vulnerable to distress, and why?

What challenges does passive management face in the current distressed market according to Nick?