LSTA

On December 5th, the LSTA hosted a webinar, "Geopolitics and the Loan Market: What’s in Store for 2025," presented by Geopolitical Strategist David J. E. Chmiel, who is Managing Director of Global Torchlight. In this seventh annual end-of-year address, Chmiel noted that if this year of national elections was one of confusion, conflict, and competition, then 2025 will be a year of divergence, drama, and “the Donald”. Read more here: https://lnkd.in/ej_v-H-u #Geopolitics #loans #markets

Registration is still open for the virtual 2025 Leveraged Finance Credit Outlook event! On December 11th, the LSTA's Tess Virmani, along with a panel of experts, will present "Private Corporate Credit: What to Expect in 2025." LSTA members can register for the virtual event here: https://lnkd.in/evt8cjix #loans #credit #markets Fitch Ratings

On December 4th, LSTA hosted a webinar, the Semi-Annual Oil & Gas 2024 Update, presented by the Haynes and Boone, LLP team led by Jeffrey Nichols who was joined by Phillip Lookadoo, Kim Mai, Laura Martone, and Roy Schwartz. The team addressed asset-backed securitizations in the oil and gas industry and municipal prepaid bond transactions. After giving helpful background to each, they dove into the benefits offered by them, the structures, the key players, and gave tips on negotiating and documenting the deals. Read more here: https://lnkd.in/eiJ3bdzm #oilandgas #bonds #markets

According to the LSTA’s Hugo Pereira, the secondary loan market rallied across November, driven by post-election optimism that boosted investor demand for broadly syndicated loans (BSL) and other risk assets. The average price for BSL in the secondary market advanced in 12 of 19 trading sessions in the month, ending 35 basis points higher at 97.25, the highest level since May 2022. The positive sentiment drove returns on BSL to 0.83% in November, according to the Morningstar LSTA Leveraged Loan Index. Read more here: https://lnkd.in/eGm8W-wG #loans #trading #markets

In their most recent financial stability reports, the BoE, Fed, and IMF continue to focus on nonbank vulnerabilities, putting PE ownership of insurers and SRTs in scope. LSTA Director of Policy Research Andrew Berlin discusses the agencies’ view on these points of interest alongside the results from the BoE’s System-Wide Exploratory Scenario here: https://lnkd.in/e_PAxstv #credit #securities #funds

The LSTA is pleased to announce the launch of the updated ESG Integrated Disclosure Project Template, an initiative led by the Alternative Credit Council, the LSTA, Principles for Responsible Investment, and several other asset managers and investors. The ESG IDP has partnered with Holtara, the ESG services arm of Apex Group Ltd, to update the Template to include specific ESG metrics covered in the ESG Data Convergence Initiative, in the interest of alignment with global disclosure standards. The ESG IDP has also expanded its executive leadership team for the 2025 term: Michael Kashani (Apollo Global Management, Inc.) will be appointed as Chair Emeritus, Jeff Cohen, CAIA (Oak Hill Advisors, L.P.) will assume the role of Chair, and Brittany Agostino (Ares Management Corporation) and Jeannie Cho (KKR) will be appointed as Vice-Chairs. Market participants may read the full Press Release for further details and access the tool here: https://lnkd.in/diTsk7PV #esgidp #sustainability #ESG

According to the LSTA’s Hugo Pereira, U.S. CLOs have set a new annual issuance record with one month remaining in the calendar year. As of November, new issuance volume stands at $191 billion, 72% higher year-over-year, and eclipsing the previous record of $187 billion set in 2021. Including CLO resets ($198 billion) and CLO refinancing ($76 billion), total CLO volume exceeds $465 billion, surpassing the 2021 record of $438 billion. Read more here: https://lnkd.in/esFebu5d #CLOs #loans #markets

Register now for Credit Outlook 2025 hosted by Fitch Ratings and LSTA to catch “Private Corporate Credit, What to Expect in 2025” on December 11 at 12pm ET.   LSTA members can register for the virtual event here:https://lnkd.in/evt8cjix #loans #credit #markets

The SEC had a busy week: Two resignations and a loss in court (again). The LSTA’s Elliot Ganz breaks it down here: https://lnkd.in/ekKdxzd5 #SEC #loans #markets

On November 20th the LSTA hosted a webinar, “Loan Total Return Swaps: What You Need to Know” which was presented by the Crowell & Moring LLP team led by Jennifer Grady, Partner, and Richard J. Lee, JD, CFA, Partner, and John Clark Special Counsel. LTRS is a hybrid instrument, a derivative wrapped around a loan, and it has been used for many years in the loan market. In the past couple of years, there has been an uptick in activity in the LTRS market after a marked downturn in volumes following the implementation of the Dodd Frank margin rules. Now is a good time for market participants to remind themselves about the complexities of the product and the issues that may arise. Read more here: https://lnkd.in/e2gGkXaF #loan #credit #markets