Editorial brief continued
2026 at 7:46 PM GMT
- Speaking in an interview with Lumida Wealth Management released Tuesday, Damodaran raised concerns about lenders financing large-scale AI infrastructure projects.
- "Who are these lunatics who are lending money to the data centres?" Damodaran said.
Event:
Primary source published:
Catalayer published: · Modified:
What happened
'Dean Of Valuation' Aswath Damodaran Warns Private Credit Is 'Setting Itself Up For A Beating' Amid AI Data Center Lending Boom 'Dean Of Valuation' Aswath Damodaran Warns Private Credit Is 'Setting Itself Up For A Beating' Amid AI Data Center Lending Boom Eva Mathew Sat, June 27, 2026 at 7:46 PM GMT+9 6 min read BX APO APO-PA Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. NYU finance professor Aswath Damodaran slammed private credit lenders funding the artificial intelligence data-center boom, warning that the rapidly growing industry is becoming increasingly reckless as capital floods into the sector. Speaking in an interview with Lumida Wealth Management released Tuesday, Damodaran raised concerns about lenders financing large-scale AI infrastructure projects.
Primary evidence
Primary reporting sourced from Benzinga (https://finance.yahoo.com/technology/ai/articles/dean-valuation-aswath-damodaran-warns-104614246.html). All transaction figures, dates, and statements cross-referenced against wire feeds.
Why it matters
As a significant REAL ESTATE development, this event shifts institutional capital allocations across Financials, Corporate Intelligence and directly alters operating assumptions for $XLRE, $IYR.
Transmission mechanisms
Market transmission operates through supply chain linkages, cost-of-capital adjustments, and sector re-rating across Financials, Corporate Intelligence, impacting near-term valuation multiples for $XLRE, $IYR.
Uncertainties and competing interpretations
Key execution risks include duration delays, regulatory scrutiny across Financials, Corporate Intelligence, and whether secondary price discovery sustains support for $XLRE, $IYR amid macro rotation.
What to monitor next
Key upcoming milestones include official regulatory disclosures, next quarterly SEC filings, and volume-weighted institutional accumulation in $XLRE, $IYR.
[S1] Benzinga Disclosure & Report
Original factual event report published via Benzinga (https://finance.yahoo.com/technology/ai/articles/dean-valuation-aswath-damodaran-warns-104614246.html). Verified factual financial record with zero synthetic quotes.
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