Venezuela – are we close to default? Waiting for a default on Venezuela’s bonds has been like waiting for Godot. Low oil prices and macroeconomic mismanagement has led to a catastrophic collapse in economic activity – our colleagues in country risk are forecasting a 7.5% GDP contraction. Civil unrest is on the rise,… Subscribe to
Many BDCs still struggling to trade at book value and higher Investors are getting ready to parse through a slew of BDCs earnings, which will be released this week. Last quarter, many BDCs disappointed with announcements of rising non-accruals, dividend cuts, and declining yields which caused the average price to net asset value per share…
The French are running out of butter. C’est impossible! Bad weather, falling milk production, and revived global demand for the dairy product have left bare shelves in France, particularly Brittany. This in a nation where consumers eat three times as much butter annually (18 lbs. per capita) as in the US. L’affaire du beurre (a.k.a….
Percentage of Deals with MFN Dollar-Capped Carveouts Contact: Steven Miller smiller@covenantreview
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 comprises of more…
The growth of all leveraged loans has failed to keep up with the combined buying capacity from loan mutual funds and CLOs.
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PE’s growing influence on M&A Download PitchBook’s Report click here. Private equity holdings now make up 11% of all target companies in the M&A market. That percentage was a good deal smaller in the not-so-distant past, but the share of PE-backed M&A targets has steadily increased since the financial crisis. Simple arithmetic explains part of…
This week we chat with Tim Hopper, founder of Macro Fund Advisors. Previously Tim was managing director and chief economist for TIAA. Tim has over 20 years of experience writing and speaking about the global economy. Prior to joining TIAA, Mr. Hopper held various leadership positions in global banking and real estate. He also served…