JPMorgan Restricts Private Credit Lending After Markdowns (1)

JPMorgan Chase & Co. is restricting some lending to private credit funds after marking down the value of certain loans in their portfolios, the latest sign of stress in the $1.8 trillion industry.

The devalued loans are to software companies, according to people familiar with the matter. That industry is home to some of the biggest borrowers in the private credit market and has been in the spotlight in recent weeks due to investor concern over the impact artificial intelligence will have on its business model.

Wall Street lenders like JPMorgan act as banks to private credit funds, providing them ...