U.S. direct lending delivered steady performance in 2025, even as 4Q redemption requests ticked, prompting questions about credit quality in private credit.
Analysis & Data, LSTA publications on the private corporate credit market
U.S. direct lending loans shrugged off a difficult start to the quarter and followed broader capital markets higher after the administration’s decision to pause the “Liberation Day” tariffs. The announcement led to a rebound in markets, lifting the average fair value of direct lending loans, pushing returns higher.
Analysis & Data, LSTA publications on the private corporate credit market
The U.S. direct lending market posted softening sequential results in the first quarter of 2025, highlighting the asset class’s resilience but not fully capturing the uncertainty that roiled markets in early April, according to two leading market benchmarks. Total return in the first quarter softened to 2.1%, according to the Cliffwater Direct Lending Index (CDLI),...
Analysis & Data, LSTA publications on the private corporate credit market
Capital markets were wide open for business in 2024, leading to a surge in volume across the U.S. direct lending and broadly syndicated loan (BSL) markets. This backdrop created a more balanced dynamic between the markets, expanding borrowers’ financing options. Year over year, direct lending activity more than doubled. According to KBRA Direct Lending Deals...
Analysis & Data, LSTA publications on the private corporate credit market
On July 24th, the LSTA 2024 Summer Series tackled the hot topic of private corporate credit. The session, “Private Credit / Direct Lending” was presented by LSTA Board Member Sabrina Rusnak-Carlson of First Eagle Investment Management and Kate Luarasi of Kirkland & Ellis. The presenters started by explaining what private credit is not. It is...
This session will examine private credit, and in particular, direct lending. Direct lending includes loans typically made by nonbank lenders to middle market companies. Its share of the loan market continues to grow and presents unique challenges for the broadly syndicated loan (BSL) market. Market participants will leave this webinar with a sound understanding of...
This session will examined private credit, and in particular, direct lending. Direct lending includes loans typically made by nonbank lenders to middle market companies. Its share of the loan market continues to grow and presents unique challenges for the broadly syndicated loan (BSL) market. Market participants will leave this webinar with a sound understanding of...
Direct lending has been among the fastest growing segments of leveraged finance, with AUM rivaling that of the broadly syndicated loan (BSL) and high-yield bond markets.
Analysis & Data, LSTA publications on the private corporate credit market
This replay is Part 2 of the Direct Lending webinar which covered the first part and provided analysis of differences between direct lending terms and syndicated lending terms; Discussion of distressed direct lending and Overview of “Uni-tranche” facilities. You will not get CLE Credit for viewing the replay. This replay will be available until February...
This presentation is Part 2 of the Direct Lending webinar which covered the first part and provided analysis of differences between direct lending terms and syndicated lending terms; Discussion of distressed direct lending and Overview of “Uni-tranche” facilities...
This replay is Part 1 of the Direct Lending webinar which covered the basics of direct lending and provide a market analysis that covered the different sectors in which direct lenders are active and volume trends, and highlighted its impact on the syndicated loan market. You will not get CLE Credit for viewing the replay....
