Leveraged Loan Insight & Analysis – 12/16/2019

Yields bifurcate within the single-B category


Investors took a cautious approach and became more selective in the latter part of 2019. In turn, the yield premium between double-B and single-B rated issuers widened significantly. The bifurcation has also trickled down into the single-B category as there has been a wide differential between higher-rated B1/B+ issuers and lower-rated ones.