Mid-market endurance test prompts funding overhaul
For even the biggest borrowers, access to funding is not what it was. But low to middle market companies in particular are struggling as they face a slowing economy and a banking sector that is increasingly restrictive in extending credit. 

Credit faces blind spot as borrowers enter higher default cycle: BNP Paribas
With short term rates outstripping nominal GDP growth, the credit cycle is entering its next and final stage – one in which corporate defaults will pick up but high quality borrowers should outperform

One-year CSOs come to fore as investors predict widening
With credit spreads entering the fourth quarter at much the same elevated levels they began Q3, investors are increasingly looking to bespoke tranches as a way of taking advantage while mitigating the market’s tail risks.

Investors tipped to take on key role in growth of CFOs
It’s early days in the renaissance of the market for collateralised fund obligations (CFOs), but market participants are looking forward to how the product will evolve.

Nassau launches CFO backed by fund LP interests
Nassau Alternative Investments has launched its second collateralised fund obligation

UniCredit wraps up three synthetic securitisations with EIB backing
UniCredit says it has produced three synthetic securitisations which will free ithe bank up to lend over €5 billion to small and mid-sized enterprises in Italy, Germany and Bulgaria.

Convertibles head for recovery after six months stuck in gridlock
Having suffered their worst first half on record, convertible bonds are due better performance if only on mean reversion

Alecta "closes the circle" as it invests with PGGM in Nordea SRT
Joint venture partners Alecta and PGGM Investments have printed a €2.5 billion significiant risk transfer with Nordea in what marks the first Simple, Transparent and Standardised-compliant SRT to reference pan-Nordic assets

Standard Chartered prints landmark SRT in Asia
Standard Chartered has issued a ground-breaking SRT by partnering with investors PGGM and Alecta. The transaction "enables Standard Chartered to be the first bank to benefit from capital relief in Hong Kong" 

SRT market keeps pumping deals as Greek and German banks free up capital
Dealflow in significant risk transfers is picking up, with a €2.7 billion Greek mortgage and SME lending deal and a €2.1 billion German corporate loan transaction printing in recent days

Go long duration in consumers and industrials: BofA
The year’s wides still lie ahead in the second half, but China reopening is bullish for consumer and industrial spreads and investors should extend duration in high-quality credit, according to Bank of America strategists

Euro loans with FX hedging offer better value than US: Barclays
The big underperformance of European loans in June has left them looking cheap versus those in the US – but FX hedging and a nuanced selection process are advisable for investors looking to take advantage of that

CLOs aim to pick up pieces as fear drives dip in loans
Leveraged loan investors grew skittish in June, with prices slipping as the likelihood of a US recession increased, according to market sources.

A&M makes securitisation breakthrough with SRT for Polish bank
Alvarez & Marsal says it has completed its first securitisation as sole arranger after completing an SRT referencing a pool of housing community loans

Italian €1bn SRT underlines advantage over CLOs and CSOs
The European CLO market has ground to a halt for the last three weeks, but a €1 billion SRT signed this week underlines there is appetite for some securitisations

Duration, decompression and dispersion disconnects grow
Investors’ reassessment of the time they may need to hold on to positions — as well as the limited opportunity for some borrowers to access new capital — are adding to a growing list of factors causing credit market prices to disconnect

Wide yields mean high times again for corporate hybrids
Prolonged disruption in financial markets has painted an ever-bleaker picture for credit fund returns and flows in 2022

Loan fintech drills into private data to free up analysts’ time
The role of credit analysts could be redefined if a new product launched by a tech company takes off

High yield / loan slowdown affects year-end projections and pricing: Barclays
A sharp decline in primary market activity means expectations for high yield bond and even leveraged loan issuance need to be lowered, say Barclays credit strategists. And that in turn has implications for relative value

PGGM partners with Polish bank for landmark SRT
PGGM has closed what it claims to be the largest securitisation in central and eastern Europe through a PLN 9 billion ($2.08 billion) SRT

High stakes promise big year for new short-dated CSOs
The bespoke tranche market looks set to put in revitalised issuance numbers in 2022 as interest grows in structured assets. But a clear trend is emerging for investors to assume short-dated exposure amid increasing macro and geopolitical uncertainty

AB targets software companies after niche securitisation
Deutsche Bank priced an unusual securitisation for AB last month. The deal accommodates the manager’s expertise in the software and technology sector