|
By Petra SALESNY, Chief Commercial Officer at Amundi Alpha Associates
European senior secured corporate direct lending has undergone a significant transformation over the past decade, maturing into a backbone of the European financing market.
While specialised segments like mezzanine or distressed debt exist, they remain niche due to higher exposure to the economic cycle, resulting in higher default rates and lower recovery rates in times of market dislocation while also carrying higher fees. In contrast, senior secured direct lending has emerged as a resilient asset class, capable of performing across market and credit cycles when implemented with discipline.
The Core and Lower Mid-Market...
|