Eurozone periphery CDS rallies It’s that time of year again when plutocrats and power brokers meet in Davos for the World Economic Forum. In recent years this congregation of the great and the good has had to fend off accusations of being out of touch with ordinary people, perhaps not without reason…. Subscribe to Read
Strong investor demand for institutional loans help issuers flex terms in their favor Continued strong demand for institutional loans has carried into the New Year. Already there has been US$30bn in institutional loan issuance this year. While that is lower than the year-ago level of US$43bn, this year’s number includes more new money issuance. Of…
A once-in-a-decade fundraising market Download PitchBook’s Report click here. Private equity is a scalable asset class. The same isn’t true for every asset class in the private market – venture funds, for example, tend to lose effectiveness if they grow too large, regardless of sector. Not so with PE, which broadens its target range with…
Average Private Debt Fund Sizes Peak in 2017 2017 was a record fundraising year for the private debt industry, as 140 vehicles secured a total of $106bn from investors. The average size of funds rose to $843mn, continuing a trend seen over the past five years of vehicles becoming larger and larger. Average fund size…
U.S. new issue CLOs reached US$117bn in 2017 with an additional US$165bn in CLO refis and resets Although loan fund outflows have been more frequent since the fall, US$12.7bn flowed into mutual funds in 2017. Separate managed account money grew as pensions, endowments and family offices along with insurance companies, and sovereign wealth funds allocated…
Welcome to the private debt show Download PitchBook’s Report click here. Following the financial crisis, raising funds for private debt vehicles has mirrored—and in some cases exceeded—the exponential growth of the larger private capital market. 2017 was a record year in capital commitments, which totaled more than $118 billion globally…. Subscribe to Read MoreAlready a
Private Debt Dry Powder As at December 2017, private debt sits on a record amount of $235bn in dry powder, exceeding the previous record of $218 set in December 2015. The $235bn is also an increase of $17bn from December 2016, as well as being over twice the amount of dry powder seen seven years…
Italian bank CDS amid senior non-preferred issuance In our last article of 2017 we noted that it was widely billed as the year of political risk. Perhaps those in the fixed income world will call 2018 the year of TLAC (Total Loss Absorbing Capacity). It doesn’t have quite the same resonance, but there is little…
Middle market loan issuance jumps 23% in 2017 to $170B Middle market lending heated up in 2017 and is poised to remain even hotter in 2018. Issuance hit $170 billion in 2017, up 23% from 2016’s weak levels. The sponsored market is driving most of the momentum as LBO issuance of $28bn hit the second…
Why is PE so optimistic? Download PitchBook’s Report click here. Our friends and clients in the PE industry are a cheery bunch. No matter how much we analysts fret about deal multiples or the tepid exit market, buyers and sellers find reasons for optimism. Exhibit A comes from our latest PE Deal Multiples Report, released…