Debtwire Middle-Market – 7/29/2019

Risk premium for second-lien loans widens

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Source: Debtwire Par

The risk premium for second-lien loans has widened in recent months. For borrowers that issued both a first-lien and second-lien loan, the margin differential has climbed to 400bps so far in 3Q19, up from 387bps in 2Q19 and 341bps in 1Q19.