Chart of the Week

Lincoln’s illustrative terms for “reasonably strong” senior and unitranche credits are generally consistent by country.

Non-bank European lending AUM is almost $160 billion, including about $50 billion of dry powder.

The relative yields-to-maturity of institutional term loans in the US vs. Europe have narrowed during Covid.

As in the US, European manufacturing and services has jumped higher than pre-Covid levels.

The European economy is coming back in sync with the US; the UK is the growth engine.

Despite the threat of higher prices, long-term interest rates have eased, supporting bonds of all stripes.

Inflation has been quiescent for over a decade, thanks to a weak economy leading into Covid.

The reopening of shuttered or nearly closed businesses accounted for a big share of April’s CPI increase.

Consumer price inflation has generally dropped since 1980, with questions raised for its future course.

Source: Lincoln International(Past performance is no guarantee of future results.)