Leveraged Loan Insight & Analysis – 9/21/2020

Libor floors remain in institutional market,
but are shifting lower

Chart

One of the many effects brought by the pandemic was the precipitous drop in Libor rates, which had already been in a steady decline for a while. The average 3-month Libor rate dropped almost 100bp to an average of 0.58% in 2Q20 and is at an average of 0.26% this quarter.