Portfolio Construction: How PE Help
Many direct lenders only finance businesses backed by private equity sponsors. While non-sponsored strategies have benefits, the presence of an owner with its own track record, industry experience, and deal sourcing prowess, gives relationship lenders distinct advantages…
▶︎ Read June 27 2022 newsletter: here
▶︎ Chart of the Week: here (by Lincoln International, S&P Capital IQ)
(Any “forward-looking” information may include, among other things, projections, forecasts, estimates of market returns, and proposed or expected portfolio composition Past performance is no guarantee of future results. Investing involves risk; principal loss is possible.)
Latest news
Spread per turn of leverage tightened 5% for lower middle market
Lenders benefited from better risk-adjusted pricing for larger middle-market and large-cap deals in the third quarter.
Middle market debt held by BDCs vs High yield vs Treasury yields
The blue line shows BIZD’s dividend yield rising 130bps in a month to 12.9% as of 22 October, although most…
Single-B loan pricing faces renewed pressure in October; 150 bps gap to double-Bs
We noted in our monthly leveraged loan coverage how average new-issue institutional loan yields moved somewhat counterintuitively: single-Bs tightened 14bp…