SVP’s Khosla: Credit Markets Have a Lot of Tail Risk

Victor Khosla, Founder and CIO of Strategic Value Partners, discusses headwinds worsening since his previous appearance. While markets have already repriced amid mounting pressure, he says risks remain unusually high: whereas he would normally put the chance of severe tail events at about 5%, he estimates a 20% to 30% chance that such risks could materialize now. He speaks with Romaine Bostick & Kristine Aquino on "The Close." (Source: Bloomberg)

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