22-05-2025
- Business
- Wall Street Journal
The AI Middleman Expanding in the Consumer-Bond Bonanza
Pagaya Technologies PGY -3.44%decrease; red down pointing triangle, the AI-powered consumer-lending firm, is issuing its first bond backed by loans made to online shoppers, part of a surge in financial engineering by Wall Street that is accelerating the flow of credit to U.S. consumers.
The firm, founded in 2016 by Israeli entrepreneurs, acts as a financial middleman between the bond market and consumer lenders such as U.S. Bank and the Swedish financial-technology firm Klarna.
