Source: Cliffwater Direct Lending Index and BofA Merrill Lynch US High Yield Effective Yield The red line in the chart is the *Cliffwater Direct Lending Index (CDLI) current yield, which is based on the investment income of the underlying assets held by public and private BDCs. BDCs invest in middle market companies, and the Index…
When buyout funds face a crisis Download PitchBook’s Report here. The Financial Crisis of 2008 was a manmade one, which gave us a degree of confidence that strict regulatory changes could prevent a sequel. The current crisis arose from nature itself, which is quite a bit harder to regulate. The impact of this crisis is changing…
“We did not underwrite for this.” So said the managing partner of a top-tier middle market private equity firm. In a conversation last week, he spoke of the challenges and uncertainties surrounding the impact to businesses of COVID-19. “We always model downside scenarios for any investment we consider,” he said. “But the zero revenue case…
A recent Refinitiv lender survey revealed expectations of a quick COVID-19 resolution is unlikely.
Source: LevFin Insights Source: LevFin Insights Source: Lipper Contact: Robert Polenberg robert.polenberg@levfininsights.com
Accordion Inside Maturity Contact: Steven Miller
On February 12 a columnist Barron’s wrote: “The three main U.S. stock indices closed at record highs as concerns over the coronavirus economic impact seemed to fade…Can anything stop this rally?” That was six weeks ago. The Dow was at 29,551. Today it’s 8,000 points lower, the economy at a standstill, global markets in shambles, […]
The Expanding Fund Manager Universe The number of participants in the private debt asset class has grown at a remarkable pace since the GFC. There are currently over 1,700 fund managers active in the industry, over twice as many as five years ago. Asia has historically accounted for a modest share of the global private…