JPMorgan Chase has restricted lending to several private credit firms after marking down the value of certain loans within their portfolios.
According to reports, the affected loans are tied primarily to software companies, a sector facing growing pressure from rapid advances in artificial intelligence.
Investors increasingly fear that AI-driven disruption could weaken traditional software business models, prompting lenders to reassess risk exposure.
The markdowns reflect rising caution among major financial institutions as technology-sector valuations face heightened scrutiny.
Despite the adjustments, the move has not triggered significant margin calls for affected borrowers, according to people familiar with the matter.
The decision highlights growing concern in credit markets about AI’s potential impact on corporate earnings and valuations.
Analysts say lenders are likely to remain cautious as financial institutions evaluate technology-sector risks tied to the accelerating AI boom.
