Unitranche in price discovery mode, likely moving back over 600bp Amid falling Libor and more volatile pricing conditions in the syndicated market, unitranche pricing is moving higher after hitting rock bottom levels in 4Q19. So far in 1Q20, the average blended spread on a unitranche is 590bp, up from a low of 578bp in 4Q19….
We wrap up special series on the Top 10 #PrivateCreditMyths with the last two. Myth #9: “Without a public benchmark, private credit returns aren’t dependable” Private credit assets don’t trade. That distinguishes them from more volatile public credit correlated with market moves. Middle market loan yields are therefore more stable through business cycles. Private credit […]
In our January 8th 2020 commentary, “Of Bubbles and Gum”, we reviewed credit market conditions in the wake of the assassination of Iranian General Suleimani. Could this be the exogenous factor that sparks a Middle East war, and triggers a recession? Or will it fade quickly like so many other candidates? We concluded with the…
The VIX index of volatility hit a post-recession high in the 40’s this week amid coronavirus concerns.
Source: LevFin Insights Source: LevFin Insights Source: Lipper Contact: Robert Polenberg robert.polenberg@levfininsights.com
HY bond and leveraged loan volatility surges in face of coronavirus fears Source: Debtwire Par, Markit, ICE BofA High yield bond and leveraged loan volatility has surged in the last three weeks. After initially brushing off coronavirus fears for most of the month of February, the leveraged loan and high yield bond markets started to…
The Rise of Asian Private Debt A growing middle class in Asia has inflated demand for private debt. This swelling middle class has in turn created growth in the SME market, which has led to robust fundraising. Aggregate capital raised for Asia-focused private debt funds has more than doubled from $3.5bn in 2016 to $8.4bn…