Three-quarters of loans to junk-rated US companies are now provided by hedge funds and other non-banks, according to a new report on the US leveraged loan market.
The study highlights the speed with which non-traditional investors are taking over from banks as lenders and changing the way loans are made and traded – a trend that has taken hold in Europe.
Non-bank lenders accounted for a third of the US leveraged loan market 10 years ago, according to the report from Standard & Poor’s LCD.
