New Issue Market Developments. Jarrod Kaplan Director High Yield Capital Markets Credit Agricole CIB
|
|
- Warren Edwards
- 5 years ago
- Views:
Transcription
1 New Issue Market Deelopments Jarrod Kaplan Director High Yield Capital Markets Credit Agricole CIB
2 Key Topics / Trends Lower high yield new issue olume Continued strength of leeraged loan market Return of olatility Some inestor friendly dynamics at play Energy sector returns to capital markets en masse Healthy M&A / LBO enironment but fewer mega-deals Impact of tax reform Slide 2
3 HY Issuance Volume Down Significantly in 2018 Yearly U.S. High Yield New Issue Volume $350B $300B $294.1 $327.8 $327.1 $312.7 $281.0 $250B $252.2 $260.2 $235.4 $200B $180.7 $150B $100B $100.6 $50B $52.9 $0B US olume currently down ~23% Y-o-Y Month of May was slowest since 2010 Consensus for 2018 total issuance is being reised towards ~$250bn s $270bn-$300bn+ by some dealer strategists Source: Credit Agricole CIB as of 6/5/18 Slide 3
4 Return of Volatility Challenges Deal Enironment Monthly U.S. High Yield New Issue Volume $50B $45B 2016 Total: $235B 2017 Total: $281B 2018 YTD Total: $101B $40B 40 $35B 35 $30B 30 $25B 25 $20B 20 $15B 15 $10B 10 $5B 5 $0B Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 No-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 SPX Volatility Index (right axis) Aug-17 Sep-17 Oct-17 No-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18 0 Source: Credit Agricole CIB as of 6/5/18, Bloomberg Slide 4
5 2018 New Issue Market Temperature Monthly U.S. High Yield New Issue Pricing s Talk (% of deals) 100% 90% 80% 70% 60% 50% 11% 11% 59% 12% 13% 32% 2% 10% 20% 4% 26% 50% 6% 35% 18% Outside Wide-end Middle 40% 30% 36% Tight-end Inside 20% 42% 27% 40% 10% 0% 20% 16% 9% Jan '18 Feb '18 Mar '18 Apr '18 May '18 Priced Transactions Volume ($B) $24.5 $12.8 $26.7 $17.4 $15.8 Deals (#) Pulled Transactions Volume ($B) $0 $0 $1.4 $0 $0.4 Deals (#) Source: Credit Agricole CIB as of 6/5/18 Slide 5
6 Lowest May New Issue Volume Since 2010 Historical Month of May U.S. High Yield Volume s Index Yield $50B 14.7% 15.00% $45B $42.9 U.S HY Volume Ag. Yield (US HY Index) 13.50% $40B $35B 10.0% $39.4 $37.0 $ % 10.50% $30B $25B $20B $ % 6.7% 7.3% $ % 5.2% 6.0% $ % $ % 6.3% 9.00% 7.50% 6.00% $15B $13.1 $ % $10B $ % $5B 1.50% $0B % May is historically one of the more actie months for issuance but olumes hae declined six consecutie years Fewer opportunities for issuers to attractiely refinance intage callable paper HY index aeraged 6.3% in May 2018, significantly inside of May 2016 when deal olume was nearly double with aerage index yield of 7.7% Howeer May 2016 median yield at issue was 5.7% s 6.7% on deals pricing in May 2018 Source: Credit Agricole CIB, Aerage monthly YTW % of ICE BofAML High Yield Master II Index Slide 6
7 Leeraged Loan Market Continues to Take Bigger Piece of the Pie Leeraged loans saw record issuance in 2017 and the momentum has carried into 2018 Total share of leeraged issuance has grown from 50% in 2015 to 70% 2018 YTD Total amount of leeraged loans outstanding has eclipsed $1.0 trillion, nearly doubling since 2010 Yearly U.S. Leeraged Finance Volume $900B $800B $700B $600B $500B $400B $300B $200B $100B $0B $139 49% Institutional Loans $203 81% 51% 19% Bonds $445 $450 65% 35% 49% 51% $640 54% 46% $778 41% 59% U.S. Institutional Loan Outstandings $687 45% 55% $519 50% 50% $565 40% 60% $779 35% 65% $325 30% 70% $1200B $1000B Amount Outstanding $800B $600B $400B $200B $0B Source: Credit Agricole CIB, LCD, Thomson Reuters Slide 7
8 Leeraged Loan Market Proides Increasing Borrower Flexibility Boosted by a surge of opportunistic deals and a spate of LBO credits, institutional new money issuance in the U.S. leeraged loan market jumped to $66 billion in May, the most since the record $78 billion in January 2017 Refinancing actiity remains the main drier of leeraged loan actiity, with a 71% share of issuance so far into the second quarter, in line with 2017 Howeer, strong PE deal flow (add-on M&A / new LBO) is adding to oerall market growth Best in class corporate borrowers currently clearing at L (~4.7% swap adjusted) s L in 2017 Approximately 80% of Term Loan B olume YTD is co-lite, a record high Recent deals from Iron Mountain, Vistra Energy and Telenet highlights the increase in leeraged loans with maturities of greater than 7-years (at least 7 deals already this year) Banks increasingly proiding flexible / friendly all senior backstops in lieu of high yield bridges Source: Credit Agricole CIB, LCD Slide 8
9 Robust M&A Enironment but Primarily for Large Cap Multinationals Yearly Announced & Completed US M&A Deal Volume ($Tn / # of Deals) $2.0T $1.6 $1.8 $1.7 14,082 13,940 14,517 YTD growth in new M&A financing Strong deal flow among large cap multinationals boosted by tax reform Most deals structured to presere IG credit ratings $1.5T 12,878 $1.0T 9,206 $0.8 10,522 $1.0 10,965 $0.9 10,813 $1.0 $1.3 $0.9 5,960 6,213 Lower olume from leeraged deals Fewer non-ig corporates willing to bet big at current aluations Sponsors preferring smaller LBOs or add-on deals to capture alue, primarily funded in loan market $0.5T $0.5 Change-of-control portability increasingly keeping bonds in place e.g. Sprint / T-Mobile $0.0T YTD May '17 YTD May '18 Source: Credit Agricole CIB, Bloomberg Slide 9
10 Priate Equity Financing Trends 7x+ is the new 6x+ EBITDA add-backs galore TLB market is preferred funding source to maximize financing needs for nearly all transactions Depth of second lien loan market is increasing with large bond size placements readily achieable Aerage deal size approaching $250MM with increasing number of $400MM+ deals outstanding 2L preferred by many sponsors to capture prepayability despite higher financing costs Sources of Funding: U.S. Sponsored Borrowers U.S. Second Lien Loan Issuance 100% $40B $35B % $30B $25B % $20B % $15B $10B $5B % YTD May 1L Loan only 1L/2L Loan 1L Loan+Bond '18 $0B Bond only Other Source: Credit Agricole CIB, LCD Slide 10
11 Corporate Issuance Themes U.S. High Yield Issuance by Sector TMT 26.5% 13.8% 15.2% Basic Materials 9.4% 18.3% 16.0% Consumer, Cyclical 9.8% 10.2% 9.3% Consumer, Non-Cyclical 14.6% 18.9% 13.9% Energy 15.2% 17.1% 23.7% Financial 2.3% 1.3% 3.8% Healthcare 4.9% 7.0% 6.6% Industrial 8.6% 4.7% 5.1% Gaming/REIT/Lodging 8.7% 8.7% 6.5% U.S. High Yield Issuance by Ratings Category CCC 5.0% 10.0% 7.6% Split B / CCC 7.3% 7.5% 8.4% Single-B 30.3% 28.1% 36.0% Split BB / B 18.1% 22.0% 16.2% Double-B 32.3% 29.5% 30.3% Split BBB / BB 6.4% 2.5% 1.5% U.S. High Yield Issuance by Use of Proceeds LBO 6.3% 4.3% 3.8% Acquisition 14.4% 15.3% 13.0% GCP 11.8% 9.3% 11.1% Spin-off 4.8% 0.4% 1.3% Refinance 62.5% 68.5% 67.8% Diidend 0.2% 2.2% 2.5% Energy issuance driing olume in Oil & Gas and Energy-related issuers raising $23.3B in HY financing YTD Decrease in refinancing olume from frequent, well known market darling issuers NIC s gapped wider in February to bps, een for on the run names Less frequent / first time issuers on the rise; debut issuers represent c. 17% of YTD olume, s c. 14% in 2017 Less duration is more defensible in uncertain pricing enironment Only 18 deals (c. 13%) with maturity of 10+ years in 2018, s 36 deals (c. 18%) this time last year Source: Credit Agricole CIB Slide 11
12 Rise of 'Reerse Yankee' Euro Issuance European High Yield Reerse Yankee Volume 100B 90B 80B 70B 60B 50B 40B 30B 20B 10B 0B EU Issuers U.S. Issuers U.S. issuers with EUR funding needs hae recently been attracted to the European market in 2017 due to the cost saings aailable Differential between the EUR tranches of cross-border transactions and the USD tranches has widened to 200+ bps in some cases US borrowers hae also been drawn to Europe to expand their inestor base, as well as to capitalize on relatiely more stable demand U.S. market is more susceptible to fund inflows and outflows affecting week-on-week demand Oerall 2017 was a record year for Reerse Yankee issuances in both the HY bond and Loan markets 36 HY bond deals hae priced in 2017, s 20 for 2016 Notable decrease thus far in 2018 gien the bouts of olatility witnessed in the European markets throughout the course of the year but more deal flow is expected Source: Credit Agricole CIB Slide 12
13 Tug of War on Coenants Modest improement in oerall coenant scores but numbers don t necessarily tell the whole story HY-lite indentures represented 35% of total issuance in 2017 s less and 15% in 2011 Traditional HY indentures proiding significant flexibility for secured debt capacity and restricted payments through multiple grower baskets, unlimited leerage-based goernors and numerous loopholes Seeral recent deals hae seen successful buyside pushback on key coenants including attempts at CoC portability, though this has suried on others Moody s HY Coenant Quality Index (2011 Present) Weaker Stronger CQI Weakest-Leel Protection Threshold Source: Credit Agricole CIB, Moody's High-Yield Coenant Database Slide 13
14 Select Recent Transactions of Note April 24, 2018 $702MM 7.875% Sr Notes due 2025 (Caa1 / B+) Community Adjusted EBITDA May 18, 2018 $1.0BN 7.750% Sr Secured Notes due 2026 (B1 / B) lien May 2, 2018 $500MM 6.875% Sr Notes due 2026 (B3 / B-) Tax reform March 28, 2018 $550MM 6.500% Sr Notes due 2026 (B2 / BB) 550MM 4.000% Sr Notes due MM 4.750% Sr Notes due 2026 Cross border, HY-lite May 24, 2018 $300MM 8.75%/9.5% Sr PIK Toggle Notes due 2023 (Caa1 / CCC+) PIK toggle diidend recap Slide 14
DEBT CAPITAL MARKETS EXECUTIVE SUMMARY MIDDLE MARKET
MARKET INSIGHTS 4Q 2017 DEBT CAPITAL MARKETS EXECUTIVE SUMMARY In the middle market, bank loan capital is available at attractive levels. For leveraged middle market companies, non-bank lenders are driving
More informationDEBT CAPITAL MARKETS EXECUTIVE SUMMARY MIDDLE MARKET LOANS
MARKET INSIGHTS 3Q 2018 DEBT CAPITAL MARKETS EXECUTIVE SUMMARY Middle market investors continue to compete on price and less restrictive documentation, prompted by a sentiment change in leveraged lending
More informationMorgan Stanley Credit Partners L.P. Weekly Market Update August 13, 2012
L.P. Weekly Market Update August 13, 2012 High Yield: YTD Issuance: $213Bn Fund Flows: +$809MM Index Yield: 6.75% Leveraged Loans: YTD Issuance (1) :$245Bn Fund Flows: +$159MM Index Yield: 6.60% Leveraged
More informationLEVERAGED LOAN MONTHLY
LEVERAGED LOAN MONTHLY THOMSON REUTERS LPC AUGUST 2013 Colm Doherty Director of Analytics colm.doherty@thomsonreuters.com 646-223-6821 Hugo Pereira Senior Market Analyst hugo.pereira@thomsonreuters.com
More informationMorgan Stanley Credit Partners L.P. Weekly Market Update November 5, 2012
L.P. Weekly Market Update November 5, 2012 High Yield: YTD Issuance: $308.8Bn, 26% above YTD 2011 Index Yield: 6.35% Leveraged Loans: YTD Issuance (1) :$392.5Bn, 18% above YTD 2011 Leveraged Finance Market
More informationFinancing ESOP Transactions- Lenders Perspective
Financing ESOP Transactions- Lenders Perspective 2015 California/Western States Chapter Conference Denver, Colorado September 24, 2015 Kurt Mair SVP and Western Regional ESOP Director Wells Fargo & Co.
More informationDEBT CAPITAL MARKETS EXECUTIVE SUMMARY MIDDLE MARKET LOANS
MARKET INSIGHTS 1Q 2019 DEBT CAPITAL MARKETS EXECUTIVE SUMMARY Last year was a strong year for the corporate loan markets, including middle market and ABL, leveraged loans, and investment grade. Strong
More informationDEBT CAPITAL MARKETS EXECUTIVE SUMMARY MIDDLE MARKET
MARKET INSIGHTS 1Q 2018 DEBT CAPITAL MARKETS EXECUTIVE SUMMARY Borrowers are seeing increased liquidity and strong competition among lenders in the middle market and in asset-based lending, making it an
More informationMorgan Stanley Credit Partners L.P. Weekly Market Update September 10, 2012
L.P. Weekly Market Update September 10, 2012 High Yield: YTD Issuance: $234Bn, 3% above YTD 2011 Fund Flows: +$201MM Index Yield: 5.50% Leveraged Loans: YTD Issuance (1) :$257Bn, 12% below YTD 2011 Fund
More informationLeverage Lending, Dividend Recaps, and Solvency Opinions. Jeff K. Davis, CFA September 17, 2013
Leverage Lending, Dividend Recaps, and Solvency Opinions Jeff K. Davis, CFA September 17, 2013 1 The pricing of credit is forever cyclical. Jim Grant Grant s Interest Rate Observer 2 SECTION ONE Leveraged
More informationState of the Middle Market M&A Private Equity Financing
State of the Middle Market M&A Private Equity Financing January 2012 DEBT ADVISORY GROUP The Capital Markets Desk for the Middle Market Results From Lincoln s 2012 Financing Market Survey Do you believe
More informationAngel Oak Capital Advisors, LLC
Angel Oak Capital Advisors, LLC Angel Oak Flexible Income Fund Quarterly Review March 31, 2018 Quarter in Review Risk assets were weaker in the first quarter driven primarily by rising rates, expectations
More informationLooking to the medium term
Looking to the medium term Issued: 4 September 2013 Legal notice This presentation has been prepared to inform investors and prospective investors in the secondary markets about the Group and does not
More informationSTATE OF THE MARKET TODAY AND WHAT TO EXPECT TOMORROW
STATE OF THE MARKET TODAY AND WHAT TO EXPECT TOMORROW Thomson Reuters LPC s Second Annual Middle Market Loan Conference Ioana Barza Director of Analysis ioana.barza@thomsonreuters.com OVERVIEW From 40,000
More informationDEBT CAPITAL MARKETS EXECUTIVE SUMMARY MIDDLE MARKET
MARKET INSIGHTS 2Q 2018 DEBT CAPITAL MARKETS EXECUTIVE SUMMARY Middle market clients have a unique borrowing opportunity, with banks competing to originate new loans for clients. In the leveraged loan
More informationMadison Capital Funding Market Overview
Communicate. Commit. Deliver. Third Quarter 2014 Table of Contents Loan Volume 2 CLO Issuance, Investors 3 Madison Capital Funding Market Overview Yields, Debt and Equity Multiples 4 Madison Capital Overview
More informationAngel Oak Capital Advisors, LLC
Angel Oak Capital Advisors, LLC Angel Oak Multi-Strategy Income Fund Quarterly Review March 31, 2018 Quarter in Review Risk assets were weaker in the first quarter driven primarily by rising rates, expectations
More informationLeveraged Loan Investor Monthly
Leveraged Loan Investor Monthly Thomson Reuters LPC July 2012 Colm Doherty Director of Analytics colm.doherty@thomsonreuters.com 646-223-6821 Hugo Pereira Senior Market Analyst hugo.pereira@thomsonreuters.com
More informationThe Scream - Edvard Munch 1893 Current Market Update and Recent Developments
2011 ANNUAL MEETING AND EDUCATION CONFERENCE American College of Investment Counsel New York, NY The Scream - Edvard Munch 1893 Current Market Update and Recent Developments Thursday, October 20, 2011
More informationRaising Capital in the Bond Markets
Raising Capital in the Bond Markets John Ong, Head of Capital Markets Sunrise Securities Corp. Capital Link Greek Shipping Forum February 23, 2010 1 Market has enjoyed low rates High Yield Index Yield
More informationEUROPEAN LEVERAGED LOAN MARKET IMPACT OF THE CREDIT CRISIS
AVOCA CAPITAL LEVERAGED LOANS EUROPEAN LEVERAGED LOAN MARKET IMPACT OF THE CREDIT CRISIS OUTLOOK 1 AVOCA CAPITAL INTRODUCTION Avoca is a large and long established European leveraged loan manager Top 5
More informationThe Corporate Loan Market in a Global Context
The Corporate Loan Market in a Global Context Moderator: Panelists: Bram Smith, LSTA Fred Haddad GoldenTree Paul Hatfield, Alcentra David Lerner, Shenkman Dan McMullen, GSO Hong Kong June 8, 2017 Agenda
More informationBONDS 101 AND MARKET UPDATE
BONDS 101 AND MARKET UPDATE October 19, 2018 Martin Ghafoori Director (314) 342-8467 ghafoorim@stifel.com Dan Smith Vice President (314) 609-4126 dan.smith@stifel.com Bonds 101 Bond Basics Bonds = loans
More informationFixed Income Update: June 2017
Fixed Income Update: June 2017 James Kochan Chief Fixed-Income Strategist Overview Political turmoil may obscure but does not usually overwhelm the economic fundamentals that drive the bond markets.. Those
More informationBreaking Down the Wall of Debt: The Leveraged Loan Market
7/14/21 Breaking Down the Wall of Debt: The Leveraged Loan Market Meredith Coffey, EVP LSTA mcoffey@lsta.org www.lsta.org 1 Panel topics Brief review of where we have been Behind the rally (and retrenchment):
More informationLOAN MARKET DATA AND ANALYTICS BY THOMSON REUTERS LPC
LOAN MARKET DATA AND ANALYTICS BY THOMSON REUTERS LPC GLOBAL LOAN MARKET DATA AND ANALYTICS BY THOMSON REUTERS LPC Secondary Market Bid Levels: Europe Slide 2 European CLO New Issue Volume Monthly Slide
More informationSummit Strategies Group 8182 Maryland Avenue, 6th Floor St. Louis, Missouri
Summit Strategies Group 8182 Maryland Avenue, 6th Floor St. Louis, Missouri 63105 314.727.7211 Quarterly Review Fixed Income Market Update FIXED INCOME MARKET QUARTERLY OVERVIEW The fourth quarter witnessed
More informationPIPER JAFFRAY DEBT CAPITAL MARKETS UPDATE Page 1. New Leveraged Loans In the Market
Issue Issue No. No. 276: 276: September September 16, 16, PIPER JAFFRAY DEBT CAPITAL MARKETS UPDATE Page 1 The Piper Jaffray Debt Capital Markets Update is published weekly and provides a summary and analysis
More informationInvestment Banking and Capital Markets Update: Week Ended 11/28/2014
Investment Banking and Capital Markets Update: Week Ended 11/28/2014 CRT Investment Banking Justin Vorwerk Head of Investment Banking 203.548.8001 jvorwerk@crtllc.com John Calcagnini Managing Director
More informationInvesting in European Gas Markets: a Banker s Perspective
Investing in European Gas Markets: a Banker s Perspective Julian Mylchreest Global Co-Head of Energy & Power, Investment Banking, Bank of America Merrill Lynch 23 th May 213 Financing Markets Dynamics
More informationM&A DEVELOPMENTS IN THE FIRST HALF OF 2017 NORTH AMERICA & EUROPE
M&A DEVELOPMENTS IN THE FIRST HALF OF 217 NORTH AMERICA & EUROPE INTRODUCTION What happened in the first half of 217 in M&A after the announcement of Brexit and the election of President Trump in 216 and
More informationCLOs Today and Tomorrow
CLOs Today and Tomorrow Moderator: Meredith Coffey, LSTA Speakers: Wynne Comer, Bank of America Merrill Lynch Loris Nazarian, Morgan Stanley Kei Okuyama, MUFG Clayton Perry, KKR Adnan Zuberi, BNP Paribas
More informationHALF YEAR RESULTS H September 16th, 2014
HALF YEAR RESULTS H1 2014 September 16th, 2014 Today s Presenters Fabio Cannaale Francesco Signoretti Gaspar Santonja Founder and Chairman CEO CFO p.2 Key Highlights Continuous growing olumes in a more
More informationState of the Middle Market M&A Private Equity Financing
State of the Middle Market M&A Private Equity Financing Webcast: May 10, 2011 DEBT ADVISORY GROUP The Capital Markets Desk for the Middle Market State of the Middle Market Agenda Agenda Update on Market
More informationIMPRESSIVE EARNINGS SEASON
LPL RESEARCH WEEKLY MARKET COMMENTARY May 14 2018 IMPRESSIVE EARNINGS SEASON John Lynch Chief Investment Strategist, LPL Financial Jeffrey Buchbinder, CFA Equity Strategist, LPL Financial KEY TAKEAWAYS
More informationU.S. Corporate Issuers: Lending Surges Amid A Decline In Credit Risk In 1Q17
U.S. Corporate Issuers: Lending Surges Amid A Decline In Credit Risk In 1Q17 S&P Global Fixed Income Research Apr. 2017 Permission to reprint or distribute any content from this presentation requires the
More informationInvestment Grade Fixed Income Review
Investment Grade Fixed Income Review February 15, 2018 North Carolina Short Term Portfolio (STIF) December 31, 2017 STIF Allocation 1.40% 1.20% Monthly STIF Rate History 1.30% Repurchase Agreements 7.5%
More informationSCHOOL DISTRICT OF PALM BEACH COUNTY, FLORIDA SERIES 2014 TAN SALE
SCHOOL DISTRICT OF PALM BEACH COUNTY, FLORIDA SERIES 2014 TAN SALE September 10, 2014 Palm Beach County School District TAN Cash flow Tax Anticipation Notes are short-term financings that allow the District
More informationAmerican College of Investment Counsel New York, NY. Michael J. Reilly Bingham McCutchen LLP (Moderator) Dewey Imhoff FTI Consulting, Inc.
211 ANNUAL MEETING AND EDUCATION CONFERENCE American College of Investment Counsel New York, NY Weeping Woman - Pablo Picasso 1937 Restructuring Trends in a Recessionary Environment: Lessons Learned and
More informationLeveraged Finance Q Leveraged Finance Market Resurgence Continues. In This Report Issuer-friendly conditions continue
Q3 2016 Leveraged Finance Market Resurgence Continues In This Report Issuer-friendly conditions continue Institutional market surges Leveraged Finance Rise of the unitranche Active high-yield market amid
More informationOklahoma Independent Petroleum Association 2007 Capital and Technology Conference. October 30, 2005
Oklahoma Independent Petroleum Association 2007 Capital and Technology Conference October 30, 2005 Market Backdrop Bulge bracket investment banks have been poor performers in 2007 STOCK PRICE PERFORMANCE
More informationU.S. Corporate Credit Outlook 1Q2016
U.S. Corporate Credit Outlook 1Q2016 Standard & Poor s Global Fixed Income Research www.spratings.com/gfir March 2016 Permission to reprint or distribute any content from this presentation requires the
More informationDefensive Floating Rate Loans
Specialists in Complete Capital Structure Analysis David Jackson, CFA Senior Portfolio Manager, Senior Partner Randall Braunfeld Senior Research Analyst, Partner Matthew Bogdan Quantitative Research Analyst
More information14:45 16:00 - STREAM 1- Marly. Are Euro Debt Capital Markets a Sustainable Option to Fulfill Funding Requirements in the Current Financial Crisis?
14:45 16:00 - STREAM 1- Marly 1 Are Euro Debt Capital Markets a Sustainable Option to Fulfill Funding Requirements in the Current Financial Crisis? 2 Are Euro Debt Capital Markets a Sustainable Option
More informationKDP ASSET MANAGEMENT, INC.
ASSET MANAGEMENT, INC. High Yield Bond and Senior Secured Bank Loan Outlook January 2019 Asset Management, Inc. 24 Elm Street Montpelier, Vermont 802.223.0440 HighYield@kdpam.com High Yield Observations
More informationPrivate Equity Investing in the Current Credit Environment. The Blackstone Group. January Vik Sawhney
Credit Environment January 2009 Vik Sawhney Introduction The unprecedented credit-related turmoil that began in the summer of 2007 continues: Collapse in residential mortgage market Unwinding of structured
More informationThe U.S. Secondary Loan Market Ted Basta, LSTA Americo Cascella, Ares Andrew Gordon, Octagon Chris Remington, Eaton Vance Gunther Stein, Symphony
The U.S. Secondary Loan Market Ted Basta, LSTA Americo Cascella, Ares Andrew Gordon, Octagon Chris Remington, Eaton Vance Gunther Stein, Symphony Hong Kong June 8, 2017 A Historical Overview In 1997, S&P
More informationHigh yield and emerging market bonds continue rally
Markit iboxx monthly report April 216 High yield and emerging market bonds continue rally April saw corporate and emerging market bond returns continue to gain amid a calmer economic backdrop. Calmer markets
More informationWhy Now for European Senior Secured Loans?
Why Now for European Senior Secured Loans? Market Features, Relative Value & Portfolio Inclusion Benefits The syndicated senior secured loan market, which until 2009 was the dominant sub-investment grade
More informationTRADING THROUGH THE VOLATILITY
Connect to WiFi WiFi: Hilton Meeting Room Password: LSTAOPS19 Open Your Web Browser TRADING THROUGH THE VOLATILITY # LSTAOPS19 Go to slido.com Ted Basta, Executive Vice President Market Analytics & Investor
More informationCredit Markets: Is It a Bubble?
Credit Markets: Is It a Bubble? Dr. Edward Altman NYU Stern School of Business 2015 Luncheon Conference TMA, NY Chapter New York January 21, 2015 1 1 Is It a Bubble? Focus on Default Rates in Credit Markets
More informationCDO Market Overview & Outlook. CDOs in the Heartland. Lang Gibson Director of Structured Credit Research March 25, 2004
CDO Market Overview & Outlook CDOs in the Heartland Lang Gibson Director of Structured Credit Research March 25, 24 23 featured record volumes despite diminishing arbitrage Global CDO Growth: 1995-23 $
More informationMortgage Trends Update
Mortgage Trends Update UK Finance: Mortgage Trends Update December 218 of first-time reaches 12-year high in 218 Key data highlights: There were 37, new first-time buyer mortgages completed in 218, some
More informationThe Keys to Successful M&A Transactions in 2008
The Keys to Successful M&A Transactions in 28 Court Houseworth Managing Director Cain Brothers & Company chouseworth@cainbrothers.com March 11, 28 27 was a Record Year for Global M&A Volume Worldwide M&A
More informationCredit Markets Update
KPMG CORPORATE FINANCE Credit Markets Update 4 th Quarter 2012 CAPITAL ADVISORY Credit Markets Summary Leveraged loan activity flourished in the fourth quarter amid a largely stable macro environment and
More information2013 Leveraged Finance Outlook and 2012 Annual Review
Fixed Income Research http://www.credit-suisse.com/researchandanalytics 2013 Leveraged Finance Outlook and 2012 Annual Review Research Analysts Jonathan Blau 212 538 3533 jonathan.blau@credit-suisse.com
More informationNorth American Development Bank. Financial Report. Héctor Camacho Chief Financial Officer. Board of Directors Meeting May 14, 2015
North American Development Bank Financial Report Héctor Camacho Chief Financial Officer Board of Directors Meeting May 14, 2015 Simplified Balance Sheet As of March 31, 2015 $1,800 Assets US$1,612 Million
More informationConseco, Inc. Second Quarter 2008 Financial and Operating Results Presentation
Conseco, Inc. selected slides from our Second Quarter 2008 Financial and Operating Results Presentation (as filed in our Current Report on Form 8-K dated August 12, 2008) Key Debt Covenants CNO ($ millions)
More informationHigh yield bonds. Game of loans
Game of loans Chief Investment Office Americas, Wealth Management 24 October 217 Philipp Schöttler, strategist; Carolina Corvalan, CFA, strategist; Barry McAlinden, CFA, Senior Fixed Income Strategist
More informationSchroder ISF Global Multi-Asset Income
Unconstrained income investing Schroder ISF Global Multi-Asset Income SGD Share Classes Schroder ISF Global Multi-Asset Income (the "Fund") is designed to help investors generate regular income regardless
More informationTop Reasons to Invest in High Yield in 2017
Top Reasons to Invest in High Yield in 217 Newsletter December 216 If you don t know where you re going, you might wind up someplace else Yogi Berra (1925 215) The good news is that the high yield market
More informationVERICO ECONOMIC CONSULTANT: MICHAEL CAMPBELL
VERICO ECONOMIC CONSULTANT: MICHAEL CAMPBELL VERICO Economic Report OCTOBER 2018 October 2018 2 5 Significant Numbers You Should Know 4,764,747 0.23 % 53.9 % The number of mortgages in Canada The percentage
More informationTOTAL DEBT AT 17.3BN; TELECOM BONDS LEAD WITH EUR 8.85BN IN ISSUANCE
Howard Tang, CFA Global Head of Debtwire Research +1 646 412 5372 howard.tang@debtwire.com Yana Dostinova Head of Europe Research +44 (0)20 7010 6298 yana.dostinova@debtwire.com Nick Smith-Saville Senior
More informationMaking it happen. 6 March 2018
Making it happen 6 March 2018 LEGAL NOTICE This presentation has been prepared to inform investors and prospective investors in the secondary markets about the Group and does not constitute an offer of
More informationBMO Exchange Traded Funds
BMO Exchange Traded Funds June 2012 Alfred Lee, CFA, CMT, DMS Vice President & Investment Strategist BMO BMO Global Asset Management Agenda The Growing ETF Landscape Institutional Usage of ETFs Mechanics
More informationIOSCO Growth and Emerging Markets Committee
IOSCO Growth and Emerging Markets Committee Mauritius - April 2014 Adam Farlow Partner, Baker & McKenzie LLP Capital Markets London Baker & McKenzie LLP is a member firm of Baker & McKenzie International,
More informationResponsible investment in growth
Responsible investment in growth Issued: 17 June 2014 Legal notice This presentation has been prepared to inform investors and prospective investors in the secondary markets about the Group and does not
More informationIPAA Private Capital Conference The Changing Debt Picture
IPAA Private Capital Conference The Changing Debt Picture E&P High Yield Market Update 2015 E&P New Debt Issued by Month ($MM) 2015 High Yield Bond Yields E&P Recent New Issue Trading Levels Source: KeyBanc,
More informationRepublic of Korea. Yield Movements. 68 Asia Bond Monitor
68 Asia Bond Monitor Republic of Korea Yield Movements Between 1 March and 15 May, local currency (LCY) government bond yields in the Republic of Korea rose for all tenors, albeit marginally (Figure 1).
More informationResponsible investment in growth
Responsible investment in growth Issued: 1 March 2016 Legal notice This presentation has been prepared to inform investors and prospective investors in the secondary markets about the Group and does not
More informationCapital Structure: Recent Evolutions and Trends. Milan, 30 th June 2016
Capital Structure: Recent Evolutions and Trends Milan, 30 th June 016 Observations Overview of the Current Market 1 1 The stabilization of the Italian macro/political environment has translated into a
More informationA Compelling Case for Leveraged Loans
A Compelling Case for Leveraged Loans EXECUTIVE SUMMARY In the current market environment, there are a number of compelling reasons to invest in leveraged loans. In a situation where most assets are trading
More informationAgency MBS: Still Attractive for Now
MANAGER INSIGHT Agency MBS: Still Attractive for Now By Ian Anderson, Portfolio Manager, Agency MBS Strategist KEY TAKEAWAYS We foresee modestly positive excess returns for agency MBS versus Treasurys
More informationHigh Yield. LarrainVial Seminario Mercados Globales - Ideas Hans Stoter Head of Credit Investments ING Investment Management
High Yield Hans Stoter Head of Credit Investments ING Investment Management LarrainVial Seminario Mercados Globales - Ideas 2010 Santiago, Lima May 11 13, 2010 What is High Yield Corporate debt with rating
More informationThe Compelling Case for Value
The Compelling Case for Value July 2, 2018 SOLELY FOR THE USE OF INSTITUTIONAL INVESTORS AND PROFESSIONAL ADVISORS 0 Jan-75 Jan-77 Jan-79 Jan-81 Jan-83 Jan-85 Jan-87 Jan-89 Jan-91 Jan-93 Jan-95 Jan-97
More informationMonthly Mutual Fund Report
July, Monthly Mutual Fund Report Statistics for May-June Sales and Redemptions Total assets for all funds increased in May by $9. billion, or., to $.7 trillion. Money market funds had a net cash outflow
More informationDebt Market Update. Key themes Q3 2017
Debt Market Update Q3 217 AUSTRALIAN DOMESTIC BANK DEBT MARKET The loan volume in the first three calendar quarters of 217 increased by 21.3 percent to US$52.7bn compared with US$43.5bn recorded in the
More informationCOLLATERALIZED LOAN OBLIGATIONS (CLO) Dr. Janne Gustafsson
COLLATERALIZED LOAN OBLIGATIONS (CLO) 4.12.2017 Dr. Janne Gustafsson OUTLINE 1. Structured Credit 2. Collateralized Loan Obligations (CLOs) 3. Pricing of CLO tranches 2 3 Structured Credit WHAT IS STRUCTURED
More informationEUROPEAN CLO MARKET ANALYSIS (Q1 2014)
EUROPEAN CLO MARKET ANALYSIS (Q1 2014) A DETAILED ANALYSIS OF THE EUROPEAN CLO MARKET IN Q1 2014, PROVIDED BY EUROMONEY SEMINARS AND PEARL DIVER CAPITAL Introduction Written by Tom Preselo, Senior Seminar
More informationCorporate bonds resurgent in March
Corporate bonds resurgent in March Markit iboxx monthly report March 216 After a volatile start to the year, fixed income returns bounced back in spectacular fashion with corporate and emerging market
More informationTRENDS, DYNAMICS, AND CHALLENGES OF CAPITAL FLOWS TO FRONTIER MARKETS
HIGH-LEVEL CONFERENCE ON MANAGING CAPITAL FLOWS: LESSONS FROM EMERGING MARKETS FOR FRONTIER ECONOMIES MARCH 2, 2015, MAURITIUS TRENDS, DYNAMICS, AND CHALLENGES OF CAPITAL FLOWS TO FRONTIER MARKETS By Henry
More informationMarket Intersection: A Quarterly Look at the U.S. Credit Markets
Market Intersection: A Quarterly Look at the U.S. Credit Markets Leveraged lending jumped 12% to US$875B in 2016 Characterized by shorter, steeper cycles, the U.S. leveraged loan market ended the year
More informationThe What And Why Of LDI
The What And Why Of LDI KEY TAKEAWAYS > Demand for fixed income Liability Driven Investment (LDI) strategies is being pushed higher by rising corporate pension funding levels and corporate tax reform deadlines
More informationUnderstanding Investments in Collateralized Loan Obligations ( CLOs )
Understanding Investments in Collateralized Loan Obligations ( CLOs ) Disclaimer This document contains the current, good faith opinions of Ares Management Corporation ( Ares ). The document is meant for
More informationLearning objectives. Investors should leave the presentation with an ability to discuss
Learning objectives Investors should leave the presentation with an ability to discuss the fundamentals and valuations of emerging markets economies in 2018 the key risks of emerging market debt in 2018
More informationSCZ ishares MSCI EAFE Small-Cap ETF
ishares MSCI EAFE Small-Cap ETF ETF.com segment: Equity: Developed Markets Ex-U.S. - Small Cap Competing ETFs: SCHC, GWX, H, FNDC, DLS Related ETF Channels: Developed Markets Ex-U.S., Broad-based, Vanilla,
More informationCREDIT UNION TRENDS REPORT
CREDIT UNION TRENDS REPORT CUNA Mutual Group Economics January 214 (November 2 data) Highlights Note: Benchmark revisions were minimal and did not change overall trends. The CU count is down 286 during
More informationAvailability, Reliability, Ease. 11 September 2018
Availability, Reliability, Ease 11 September 2018 LEGAL NOTICE This presentation has been prepared to inform investors and prospective investors in the secondary markets about the Group and does not constitute
More informationMarch 22, 2017 Boston, MA
March 22, 2017 Boston, MA Make or Break: Five Pivotal Drivers in 2017 Holly H. MacDonald Chief Investment Strategist Past performance is no guarantee of future results. This material is provided for your
More informationCAPITAL MARKETS AND FOREX OVERVIEW JULY 2016 REPORT
CAPITAL MARKETS AND FOREX OVERVIEW JULY 2016 REPORT NON-DISCLOSURE CLAUSE Union Capital Limited has prepared this material. Opinions expressed herein are current opinions as of the date appearing in this
More informationAre You Prepared for a Credit Downturn? A Conversation with Dr. Edward Altman
Are You Prepared for a Credit Downturn? A Conversation with Dr. Edward Altman Agenda Introduction & Housekeeping Keynote: Are We in a Credit Bubble? Q&A 2 Welcome! Dr. Edward Altman Professor of Finance
More information2018 Investment and Economic Outlook
2018 Investment and Economic Outlook Presented 3/19/18 Jeffrey Neer, CFA Client Portfolio Manager 410-237-5592 jeffrey.neer@pnc.com 1 Monetary Policy: Key Factors Inflation U.S. U.S. Labor Market 2.4%
More informationRelease date: 14 August 2018
Release date: 14 August 218 UK Finance: Mortgage Trends Update June 218 House purchase activity slows in June but remortgaging activity remains high Key data highlights: There were 34,9 new first-time
More informationThe Scream - Edvard Munch 1893 Current Market Update and Recent Developments
2011 ANNUAL MEETING AND EDUCATION CONFERENCE American College of Investment Counsel New York, NY The Scream - Edvard Munch 1893 Current Market Update and Recent Developments Thursday, October 20, 2011
More informationTHOMSON REUTERS LPC S FIFTH ANNUAL MIDDLE MARKET LOANS CONFERENCE
REUTERS / Jean-Paul Pelissier REUTERS / Firstname Lastname THOMSON REUTERS LPC S FIFTH ANNUAL MIDDLE MARKET LOANS CONFERENCE Ioana Barza Director of Analysis 646-223-6822 ioana.barza@tr.com REUTERS / Samrang
More informationAuction Theory Lecture Note, David McAdams, Fall Bilateral Trade
Auction Theory Lecture Note, Daid McAdams, Fall 2008 1 Bilateral Trade ** Reised 10-17-08: An error in the discussion after Theorem 4 has been corrected. We shall use the example of bilateral trade to
More informationSCHD Schwab U.S. Dividend Equity ETF
Schwab U.S. Dividend Equity ETF ETF.com segment: Equity: U.S. - High Dividend Yield Competing ETFs: HDV, FDL, RDIV, WBIY, VYM Related ETF Channels: North America, Smart-Beta ETFs, Dividend, U.S., Broad-based,
More informationPerformance for Quarter & Year ended March 31, 2015
Performance for Quarter & Year ended March 31, 2015 Jatin Dalal Sr. Vice President and CFO April 21, 2015 1 Financial Summary for the Year Ended March 31, 2015 (IFRS) Wipro Limited FY 15 (Rs million) YoY
More informationThe case for lower rated corporate bonds
The case for lower rated corporate bonds Marcus Pakenham Fixed income product specialist December 3 Introduction Where should fixed income investors be positioned over the medium term? We expect that government
More informationFirst Quarter FINANCIAL UPDATE. 4th Quarter. February 25, 2016
First Quarter FINANCIAL UPDATE 4th Quarter February 25, 2016 Disclaimer All statements in this presentation other than historical facts are forward-looking statements that inole risks and uncertainties
More information