European Direct Lending: A Look Ahead

As we conclude our European private credit series, let’s review what we’ve learned:

1. Europe suffered a similar Covid slump (and enjoyed a similar rebound) as the US. Deal volumes are at record highs. Europe retained the country-by-country distinctions they had pre-Covid.
   
2. Pricing in the US and across the pond is close. Though European upfront fees are higher, certain terms are decidedly more issuer-friendly. Banks have been more aggressive than direct lenders in some locales…

▶︎ Read July 26 2021 newsletter: here

▶︎ Chart of the Week: here (by Preqin)

(Any “forward-looking” information may include, among other things, projections, forecasts, estimates of market returns, and proposed or expected portfolio composition Past performance is no guarantee of future results. Investing involves risk; principal loss is possible.)