Vol 36 - Shrugging Off the Shutdown - Too Soon?
- Ann Yu
- Oct 5
- 4 min read
October 5, 2025
美國政府本周終於在兩黨政爭下關門了，但是股市似乎並沒有太過擔心，據彭博社統計，有超過一半的受訪者認為，這次政府得關門超過「一個月」，對股市才會造成負面的影響。
說是這麼說，但是政府關門最大的受惠者 -【黃金】，早就不停創下歷史新高了。
顯然投資者在不願放棄【美股上漲潛力】的同時，也知道要做好【資產分散】的兩手準備。
Contents of This Week's Newsletter
Social Media | |
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Family Office Buzz | |
Next Week |
Topics from Jadewell's Social Media
😞 Yes the US Government is Shutting Down Again
Since 1981, the U.S. has shut down 14 times. The longest? 35 days from late 2018 to early 2019 - sparked by Trump’s demand for border wall funding.
Starting last Wednesday (October 1), the U.S. government has shut down again for the first time in seven years! How did it come to this? And what kind of impact could the shutdown have? 👉 Facebook (Chinese) / Instagram (English)
💊 TrumpRx is here - Trump's pharmacy goes live?!
While Wall Street’s been sweating over gov shutdown, one sector is quietly staging a comeback: Healthcare stocks! 🩺📈
Donald Trump has announced the launch of a government-led direct-to-consumer pharmaceutical platform called TrumpRx, expected to go live in 2026.
What does this platform represent - and what far-reaching impact could it have on the global pharmaceutical industry? 👉 Facebook (Chinese) / Instagram (English)
Private Credit Funds: All Roads Lead to AI
If you’ve been following us for a while, you’ll know we’ve covered Private Credit Funds extensively—from their declining returns to the “magic trick” of bundling illiquid assets into highly liquid ETFs for trading.
Yet despite these concerns, private credit funds remain hot sellers in the market. Sales reps often pitch them as the “perfect investment”:
✔️ Annual returns of 10–12%
✔️ Low correlation with traditional equities and bonds
✔️ Sounds almost too good to fail
But is it really that simple? A Bloomberg article last week caught our attention—and prompted us to take a fresh look.
🏦 The Original Mission of Private Credit
Private credit funds first gained traction when traditional banks tightened their lending standards. Many small and mid-sized businesses (SMEs), unable to secure loans, turned to private lenders.
These funds would then carefully select companies with strong fundamentals, reducing credit risk while delivering attractive returns to investors.
However, as banks have gradually loosened their lending criteria, SMEs are returning to traditional financing. Meanwhile, private credit funds - flush with capital - are facing a shortage of high-quality borrowers. This supply-demand imbalance is one of the key reasons behind falling returns.
🤖 A New Frontier: Financing AI Data Centers
The good news? Private credit funds may have found a new destination for their money - AI Data Centers.
According to Morgan Stanley, tech giants are expected to spend $2.9 trillion over the next three years building data centers. But their internal cash flow may only cover half of that. So where will the rest come from? You guessed it - private credit funds.
Even smarter, these tech companies aren’t just borrowing - they’re entering joint ventures with private credit funds. This way, the additional capital doesn’t show up as debt on their balance sheets.
🏗️ Why Data Centers Are the New Darling?
Large capital requirements: Ideal for deploying massive amounts of capital efficiently
Stable rental income: Once built, data centers can be leased to compute-hungry tech firms, generating predictable cash flow
⚠️ But Are We Overbuilding?
Morgan Stanley also warns: the projected revenue from generative AI over the next three years is around $1 trillion - far below the $2.9 trillion in infrastructure spending. How long can this mismatch last before market expectations need a reset?
Plus, with AI evolving rapidly, data center operators must frequently upgrade hardware to stay competitive. These ongoing costs could eat into the returns that private credit funds promise.
🤔 What Should Investors Watch For?
Private credit funds, once seen as low-correlation and stable-return vehicles, are now deeply intertwined with the AI boom.
For investors, this means that private credit funds may not be another "safe haven" to hide - it’s actually another chapter in the tech race.
All roads lead to AI - even for private credit. Are you ready for what’s next? Let’s talk to Jadewell Family Office today.
Key Events to Watch in the Week Ahead
US - Eco Data | Oct 9 (Thu) - FOMC Meeting Minutes, Powell Speech |
About Jadewell Family Office
Jadewell is committed to offering proactive, customized services akin to a “single-family office,” yet within the ease of a “multi-family office” environment.
Ann Yu
Co-Founder and CEO
Jadewell Family Office
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