A major investment firm is getting ready for the next market downturn by trying to amass a huge pool of capital for distressed investments.
Oaktree Capital Group, the more than $91 billion private investment firm that specializes in the debt of troubled companies, is seeking $10 billion for a new fund, according to Bloomberg.
Oaktree, led by chairman Howard Marks and president and chief investment officer Bruce Karsh, plans to raise $3 billion that it can invest immediately and $7 billion to use for distressed bets as opportunities appear.
The $3 billion Oaktree Opportunities Fund X will take non-control positions in corporate debt, shipping, power plants and real estate, Bloomberg said.
A spokesman for Oaktree declined to comment to CNBC.com on the report.