Asset management giant Pimco reduced its Meta debt holdings ahead of schedule, as risk appetite has shifted towards caution.

October 28 - Asset management giant Pacific Investment Management Company (Pimco) aggressively participated in AI data center debt financing in 2025, and has now successfully avoided some losses from the AI bond market pullback and achieved profits by selling some holdings early, conducting interest rate hedges, and abandoning some subsequent deals.

Pimco previously participated in approximately $18 billion in debt financing for Meta's Louisiana data center project and approximately $10 billion in financing for Oracle's Michigan data center project. Filings show that the institution's current holdings in the two related debt positions have each decreased by about 50%. Among them, Pimco sold about $3 billion of Meta-related bonds approximately 6 to 8 months after purchase, when prices were already above par; Oracle-related bond prices fell from 98.7 cents at issuance to about 88 cents.

As AI infrastructure financing continues to expand, Pimco has also become more cautious recently, successively declining to participate in a large debt deal related to Broadcom and Anthropic, SoftBank's approximately $11 billion junk bond issuance, and some Oracle data center loans. However, the institution still participated in a large SpaceX financing, subscribing to approximately $4 billion in debt to support its AI business expansion. (Bloomberg)