The Zhitong Finance App learned that the chief investment officer of one of the world's largest bond fund companies issued a warning saying that there are “dangerous” assumptions in the credit market, and that inflated ratings may bring investors a false sense of security at a time when the Federal Reserve's ability to intervene is limited. Dan Evasin, chief investment officer of Pacific Investment Management (PIMCO), stated, “It's very, very dangerous just because a rating agency gives an investment grade rating to an asset and assume that something is investment grade. Currently, loans to low-quality companies are growing so fast. Once again, the last major cycle was lending to credit-quality households.”

The Zhitong Finance App learned that the chief investment officer of one of the world's largest bond fund companies issued a warning saying that there are “dangerous” assumptions in the credit market, and that inflated ratings may bring investors a false sense of security at a time when the Federal Reserve's ability to intervene is limited. Dan Evasin, chief investment officer of Pacific Investment Management (PIMCO), stated, “It's very, very dangerous just because a rating agency gives an investment grade rating to an asset and assume that something is investment grade. Currently, loans to low-quality companies are growing so fast. Once again, the last major cycle was lending to credit-quality households.”