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…
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…
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…
Secondary loan market softens in face of coronavirus fears Source: Debtwire Par, Markit With fears around the spread of the coronavirus growing, loan investors are faced with the decision to reduce risk or buy the recent dip in the secondary market. After several months defined by repricings, tightening spreads, and elevated secondary market pricing, the…
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…
Margin tightening drives institutional loan spreads lower Source: Debtwire Par So far in 2020, issuers have taken advantage of welcoming market conditions to gain attractive pricing on their loans. In the syndication phase, 28 deals totaling USD 33.4bn have seen margins tighten from initial talk, versus only three deals worth USD 4.7bn being forced to…
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…
New money share of institutional loan issuance dips to recent low Source: Debtwire Par The institutional leveraged loan market is off to a busy start in 2020, with USD 58bn of deals having priced and another USD 79bn in the pipeline. Notably, only USD 10bn, or roughly 17%, of loans issued this year have been…
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…
Loan repricing streak continues into 2020, spreads to single-B names Source: Debtwire Par Institutional loan repricings have continued their hot streak into 2020, with USD 17.9bn of repricings in the syndicated loan pipeline as of January 15. This represents roughly half of all institutional loans currently in the syndication phase. 2019 was a light year…