US leveraged loans continued to rally in November, fueled by exceptionally hot demand from CLOs and retail investors, set against very little new issuance.
A wave of volatility hit the leveraged finance market in early August as investors pivoted away from risk assets and toward safe havens following the surprising jobs report that came in well below expectations, stoking growing concerns about the health of the US economy
US leveraged loans continue to deliver stellar returns in what remains an elevated rate environment.
The US leveraged loan market progressed further on the road to recovery in September.
Prices in the US leveraged loan secondary market rallied in the first two weeks of August, building on July’s momentum.
The U.S. leveraged loan market in May posted its biggest monthly loss since the onset of the Covid-19 pandemic, plunging 2.56%,according to the S&P/LSTA Leveraged Loan Index.
In the second half of March the U.S. secondary loan market reclaimed some of the losses sustained since Russia invaded Ukraine.
U.S. leveraged loans held up relatively well in January amid a rout in equities and bonds, as expectations of rising rates attracted a surge of capital into the floating-rate asset class....
It was an unprecedented year for the U.S. leveraged loan market....
The U.S. leveraged loan secondary market turned volatile in the final week of November after advancing steadily for most of the month amid a continuation of the insatiable investor demand for the asset class. After setting a new full-year issuance record in September, CLOs posted two consecutive record-setting monthly totals....
Investor demand in the loan asset class remains robust, with the CLO market printing a record volume of new vehicles in August.
Concerns of rising coronavirus cases spurred by the Delta variant created a widespread ripple effect across financial markets in July, including for floating-rate debt....

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