US credit outlook: Pramerica, BlackRock & Alliance Bernstein

Ashish Shah, Alliance Bernstein: corporate fundamentals are robust

Steven Kellner

Head of credit portfolios

Pramerica Fixed Income (part of Prudential Financial)

What’s your outlook for corporate credit?

Underlying credit fundamentals in US corporates are very strong. Corporate America by and large deleveraged back in 2001–2 when you had a business-led slowdown in the economy. That is when the consumer side of real estate was starting to go gangbusters.

Since that recession, behaviour has been much more responsible in terms of corporate leverage. The real problem