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Speculative-grade default rate at nearly 6-year high, S&P GFIR says

The U.S. trailing 12-month speculative-grade corporate default rate is estimated to have increased to 3.8% in March, from 3.28% in February and 2.82% in January, according to S&P Global Fixed Income Research (S&P GFIR). The current observation estimate represents the highest level in nearly six years, or since the rate was at 4.17% in September 2010.

There were 12 corporate defaults during the month. Sub-par debt buybacks produced defaults for mortgage lender Prospect Holdings and Town Sports International; skipped interest spurred defaults for Chaparral EnergyForesight Energy, Linn EnergyTemplar Energy, and auto-parts company UCI Holdings; bankruptcies were Aspect Software and Southcross EnergyAmerican Media completed yet another distressed exchange; Peabody Energy didn’t make a coupon during the grace period and warned of the ability to continue as a going concern; and Nuverra Environmental Solutions completed an out-of-court restructuring.

Downgrades outpaced upgrades. S&P Ratings Services upgraded 19 companies with total debt of about $207.3 billion and downgraded 48 companies with total debt of about $62.4 billion in March, according to S&P GFIR.

“The resulting downgrade ratio for the month by count is 2.53 to 1. In comparison, the downgrade ratio was 2.2 to 1 for full-year 2015, 1.02 to 1 for full-year 2014, and 0.9 to 1 for full-year 2013,” explained Diane Vazza, head of S&P GFIR.

Looking ahead, the S&P GFIR holds firm its forecast for the U.S. speculative-grade default rate to increase to 3.9% by the end of 2016.

Today’s report, titled “The U.S. Speculative-Grade Corporate Default Rate Grew To 3.8% In March,” is available to subscribers of premium S&P GFIR content at the S&P Global Credit Portal.

For more information or data inquiries, please call S&P Client Services at (877) 772-5436. — Staff reports

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Bond prices surge with largest gain since December 2014

The average bid of LCD’s flow-name high-yield bonds gained 213 bps in today’s observation, to 93.77% of par, offering an average yield to worst of 8.24%, from 91.64 on Thursday, yielding 8.79%. The performance within the 15-bond sample was broadly positive, with 14 gainers against one decliner.

This is the fifth consecutive positive reading, a streak that hasn’t occurred since February 2015, and it’s the single largest one-observation gain since a gain of 236 bps on Dec. 18, 2014, surpassing this year’s recent rally of 208 bps on Jan. 26. (That’s, of course, not including gains tied to interval and credit-news revisions to the 15-bond sample.)

Gains are noted against the backdrop of an enduring two-week rebound from the February trough that strategists are calling the second half of a double bottom after the January swoon. To that end, with the steady advance in the second half of February, the average is up 460 bps dating back two weeks but only higher by 245 bps dating back four weeks. Moreover, it’s now up 614 bps from the recent low of 87.63 recorded on Feb. 11, 2016, which was just below the prior low of 88.77 recorded on Jan. 21, 2016.

Strong gains of late are linked to a return of inflows to the asset class, and some rising commodities prices, including oil and iron ore. As well, there’s an ongoing technical strength stemming from still-low U.S. Treasury rates and limited supply out of the primary high-yield market.

As well, earnings season has been fairly kind to many credits, including Scientific Games. To that end, much of today’s advance can be tied to the SGMS 10% notes in the sample, which are up 10.25 points, to 78.75 since reporting results last week. A pro forma reading without such a surge would still have the average up roughly a commendable 150 bps, but that’s less than some other gains since the February low, such as 1.53 bps increase out of the Feb. 11 low.

With the recent broad-based appreciation in price, the year-to-date decline in the average price has turned back into the black, at positive 148 bps. For comparison, the average price was down 466 bps at the 2016 low of 87.63 on Feb. 11 and negative 1,050 bps for all of 2015. With today’s increase in the average price, the average yield to worst plunged 55 bps, to 8.24%, and the average option-adjusted spread to worst was collapsed by 71 bps, to T+669, for the first sub-700 reading in seven weeks. The larger move in spread as compared to yield can be linked to U.S. Treasury weakness of late, as rising underlying yields encourage spread compression.

After removing deeply distressed credits with huge yield and spread amid the year-end revision, the LCD flow names have been more closely aligned with broader market averages. For example, the S&P Dow Jones U.S. Issued High Yield Corporate Bond Index closed Monday, Feb. 29, with a 8.67% yield to worst and an option-adjusted spread to worst of T+775.

Bonds vs. loans
The average bid of LCD’s flow-name loans advanced 82 bps in today’s reading, to 96.49% of par, for a discounted loan yield of 4.34%. The gap between the bond yield and the discounted loan yield to maturity stands at 390 bps. —Staff reports

The data:

  • Bids increase: The average bid of the 15 flow names rallied 213 bps, to 93.77%.
  • Yields decrease: The average yield to worst plunged 55 bps, to 8.24%.
  • Spreads decrease: The average spread to U.S. Treasuries imploded by 71 bps, to T+669.
  • Gainers: The largest of the 14 gainers was by a huge margin. Scientific Games 10% notes due 2022 rallied 10.25 points, to 78.75, since the company reported year–end results last week.
  • Decliners: The lone decliner was Valeant Pharmaceuticals 5.875% notes due 2023, which fell four points, to 81.
  • Unchanged: None.
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TPG sees near-record originations in 4Q, helped by Idera investment

TPG Specialty Lending, a BDC trading on the NYSE under the ticker TSLX, said originations totaled a near-record $399 million in the recent quarter.

These originations compare to a gross total of $305 million in the final quarter of 2014 and $185 million in the quarter ended Sept. 30. The most recent quarter was the second strongest quarter for originations since TPG’s inception.

Among the new additions to the portfolio in the final quarter of 2015 was a significant piece of M&A financing for Idera, a loan deal that priced wide to talk in volatile market conditions. The loan funded an acquisition of Embarcadero Technologies, which was a portfolio company of TPG.

In October, TPG added a $62.5 million piece of Idera’s loan due 2021 at a cost basis of $56.4 million and $55.9 million at fair value. The loan accounts for 6.8% of TPG’s net assets.

Asked about the loan in an earnings call today, co-CEO Josh Easterly said TPG was able to co-invest in Idera across platforms and was motivated by an intimate knowledge of the software industry and the acquisition target.

“We were able to go in with size, with a big order, to drive terms on a credit we knew that benefited TSLX shareholders,” Easterly said.

Another addition to the investment portfolio was a $45 million first-lien loan due 2021 to MatrixCare, the company’s 10-K filed yesterday after market close showed. Interest on the loan is 6.25%. Fair value and the cost of the loan was $44.1 million as of Dec. 31, the 10-K showed.

GI Partners acquired Canadian healthcare IT company Logibec from OMERS Private Equity in December. OMERS retained Logibec’s former U.S. subsidiary, MatrixCare, which provides health records to long-term care and senior-living facilities.

Also during the quarter, TPG received repayment of a loan to bankrupt grocery store chain operator Great Atlantic & Pacific Tea Co. (A&P).

Exits and repayments totaled $155 million in the most recent quarter, for a net portfolio increase of $129 million in principal. The fair value of the investment portfolio was $1.49 billion as of Dec. 31, reflecting positions in 46 companies. Some 88% of the portfolio was in the first-lien debt of U.S. middle market companies.

Oil and gas

The BDC’s exposure to the troubled oil and gas sector was 3.2%, at fair value, in two investments: Mississippi Resources and Key Energy Services. This compared to oil and gas exposure of 4% for the portfolio as of Sept. 30, which included a loan to Milagro Oil & Gas. A bankruptcy judge confirmed a reorganization plan for Milagro on Oct. 8.

The investment in upstream E&P company Mississippi Resources included a $46.7 million 13% (including 1.5% PIK) first-lien loan due 2018 and equity. The Key Energy investment is a $13.5 million first-lien loan due 2020, booked with a fair value of $10.5 million in TPG’s portfolio, the SEC filing showed.

“We will opportunistically review situations,” Easterly said of potential lending to the oil and gas sector.

Non-accruals

TPG Specialty Lending had no investments on non-accrual status at the end of the quarter.

TICC Capital

The portfolio reflected TPG’s ongoing interest in TICC Capital. TPG owns 1.6 million TICC shares, representing 1.2% of its investment portfolio. TPG is trying to acquire TICC Capital, saying TICC’s external manager has failed the BDC and, given the chance, TPG could improve returns for shareholders.

Earlier this month, TPG nominated a board member and proposed severing what it called TICC Capital’s failed management agreement with TICC Management. TPG owns roughly 3% of TICC Capital stock. An earlier stock-for-stock offer by TPG for TICC was rejected.

The move by TPG came after a shareholder vote at TICC in December that blocked a plan to change TICC Capital’s investment advisor to Benefit Street Partners.

“We believe the result of the shareholder vote not only reflects the demand for TICC shareholders for better management and governance, but also heralds an inflection point for the broader BDC industry to build a culture of accountability and shareholder alignment,” Easterly said today.

NAV

Net asset value per share declined to $15.15 at year-end, from $15.62 as of Sept. 30, and from $15.53 a year earlier. The decline was due to unrealized losses, widening credit spreads in the broader market, and volatility in the energy sector.

Shares of TPG were trading at $16.01 at midday today, up more than 1%, but the stock drifted down to $15.89 in afternoon trade. — Abby Latour

Follow Abby on Twitter @abbynyhk for middle market deals, leveraged M&A, BDCs, distressed debt, private equity, and more.

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Bond prices sink to 2016 low amid mixed reading

The average bid of LCD’s flow-name high-yield bonds dropped 75 bps in today’s observation, to 87.63% of par, offering an average yield to worst of 9.75%, from 88.38 on Tuesday, yielding 9.34%. Performance within the sample was mixed, with five gainers against 10 decliners and none unchanged.

The decline in average bid price adds to the plunge of 236 bps on Tuesday, for a combined slide of 311 bps week over week. This is the largest one-week drop since 432 bps in the week ended Sept. 29, 2015.

The average is now at a fresh 2016 low, deeper by 114 bps as compared to the previous low of 88.77 on Jan. 21; though it’s still up 355 bps from the 2015 low of 84.08 recorded on Dec. 15.

The fresh losses of late are to some extent attributable to similar factors seen in January—some global economic turmoil, especially out of China; losses in stock markets, and fresh retail-cash outflows from the asset class—but this week there are also concerns about the frailty of banks in Europe fanning the flames. As for flows, many bid-wanted lists have circulated in recent days, suggesting outflows, and in fact, the largest high-yield ETF, the iShares HYG, shows $488 million pulled over the past three days.

With today’s decline in average price, the average yield to worst jumped 41 bps, to 9.75%, and the average option-adjusted spread to worst pushed out 32 bps, to T+848. For the full week, these metrics are wider by 76 bps and 98 bps, respectively. The larger move in spread as compared to yield can be linked to the U.S. Treasury market strength of late, as falling underlying yield encourages spread-to-Treasury expansion.

After removing deeply distressed credits with huge yield and spread amid the year-end revision, the LCD flow names have been more closely aligned with broader market averages. For example, the S&P Dow Jones U.S. Issued High Yield Corporate Bond Index closed yesterday, Feb. 10, with a 9.39% yield to worst and an option-adjusted spread to worst of T+850.

Bonds vs. loans
The average bid of LCD’s flow-name loans fell 50 bps, to 95.81% of par, in today’s reading, for a discounted loan yield of 4.39%. The gap between the bond yield and the discounted loan yield to maturity stands at 536 bps. — Staff reports

The data:

  • Bids fall: The average bid of the 15 flow names dropped 75 bps, to 87.63.
  • Yields rise: The average yield to worst jumped 41 bps, to 9.75%.
  • Spreads widen: The average spread to U.S. Treasuries pushed outward by 32 bps, to T+848.
  • Gainers: The largest of the five gainers were the Altice 7.75% notes due 2022, which recovered one point, to 88.5, and the Sprint 7.875% notes due 2023, which gained the same amount, to 63.5.
  • Decliners: The largest of the 10 decliners was Scientific Games 10% notes due 2022, which dropped 4.5 points, to 62.5.
  • Unchanged: None.
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High yield bond prices fall to two-week low, nearing 2016 nadir

The average bid of LCD’s flow-name high-yield bonds declined 58 bps in today’s observation, to 90.74% of par, offering an average yield to worst of 8.99%, from 91.32 on Tuesday, yielding 8.83%. Performance within the sample was broadly negative with 12 decliners, a lone gainer, and two unchanged.

The latest decline in average bid price follows a negative 49 bps observation on Tuesday, for a net 107 bps fall this week. Last week was positive to a greater extent amid the first positive readings this year; the average is higher by 197 bps in a trailing-two-week measurement.

A fresh decline puts the average at a two-week low, nonetheless, and it’s now targeting the 2016 low of 88.77 recorded two weeks ago, on Jan. 21. While certainly trending in that direction, it’s still 197 bps above that reading. Several other readings, like 90.18 and 89.13 in mid-January, were much closer.

Fresh losses of late to some extent match those factors in January—some global economic turmoil, especially out of China, losses in the stock markets, and fresh retail cash outflows from the asset class. As for the latter, many bid-wanted lists have circulated in recent days, suggesting the outflows, and in fact, the largest high-yield ETF, the iShares HYG, shows $724 million in redemption so far this week.

Prior to the typical, annual sample revision, the average had plunged to a 6.5-year low of 84.08 on Dec. 15. However, there was a year-end rally to follow, and the average closed the year 111 bps above the low, at 85.19, for a total loss of 1,050 bps in 2015, after a decline of 536 bps in 2014.

With today’s modest decline in average price, the average yield to worst edged up 16 bps, to 8.99%, and the average option-adjusted spread to worst pushed outward by 21 bps, to T+750. The larger move in spread as compared to yield can be linked to the U.S. Treasury market strength of late, as falling underlying yield encourages spread-to-Treasury expansion.

After removing deeply distressed credits with huge yield and spread amid the year-end revision, the LCD flow names have more closely realigned with broader market averages. For example, the S&P Dow Jones U.S. Issued High Yield Corporate Bond Index closed yesterday, Feb. 3, with a 9.08% yield to worst and an option-adjusted spread to worst of T+794.

Bonds vs. loans

The average bid of LCD’s flow-name loans was up two basis points, at 96.81% of par in today’s reading, for a discounted loan yield of 4.32%. The gap between the bond yield and discounted loan yield to maturity stands at 467 bps. — Staff reports

The data:

  • Bids fall: The average bid of the 15 flow names declined 58 bps, to 90.74.
  • Yields rise: The average yield to worst edged up 16 bps, to 8.99%.
  • Spreads widen: The average spread to U.S. Treasuries pushed outward 21 bps, to T+750.
  • Gainers: The lone gainer was Frontier Communications 11% notes due 2025, which edged up three-quarters of a point, to 95.25.
  • Decliners: The largest of the 12 decliners was Sprint 7.875% notes due 2023, which dropped three full points, to 66.5.
  • Unchanged: Two of the 15 constituents were rangebound.
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Third Ave’s liquidating debt fund holds concentrated, inactive paper

The leveraged finance marketplace is abuzz this morning ahead of a conference call to address to a plan of liquidation for the Third Avenue Focused Credit mutual fund following big losses this year, mild losses last year, heavy redemptions, and now a freeze on withdrawals. The news was publicly announced last night by the fund, and there will be a call at 11 a.m. EST for shareholders with lead portfolio manager Thomas Lapointe, according to the company.

Market sources yesterday relayed rumors of a near-$2 billion redemption from the asset class, and as one sources put forth, “the odd thing was it was difficult to trace the money that left, what was sold, and where it went.”

That was followed up by last night’s whopping, $3.5 billion retail cash withdrawal from mutual funds (72%) and ETFs (18%) in the week ended Dec. 9, according to Lipper, although it’s not entirely clear if that figure—the largest one-week redemption in 70 weeks—can be linked to Third Avenue. (LCD subscribes to weekly fund flow data from Lipper, but cannot see inside the aggregate observation.)

Nonetheless, it’s worthy of a dive into the open-ended fund, which trades under the symbol TFVCX. The fund shows a decline of 24.5% this year, versus the index at negative 2.94%, after a 6.3% loss last year, versus the index at positive 2.65%, according to Bloomberg data and the S&P U.S. Issued High Yield Corporate Bond Index.

It’s an alternative fixed-income fund that’s “extremely concentrated,” and “hardly representative of a ‘high yield’ or ‘junk bond’ fund,” outlined Brean Capital’s macro strategist Peter Tchir in a note to clients this morning. He highlighted that Bloomberg analytics show a portfolio that’s almost 50% unrated, nearly 45% tiered at CCC or lower, and just 6% of holdings rated BB or B.

The holdings are all fairly to extremely off-the-run, hence the trouble selling assets to meet redemption, and thus, the liquidation. The remaining assets have been placed into a liquidating trust, and interests in that trust will be distributed to shareholders on or about Dec. 16, 2015, according to the company.

Top holdings follow, and none have traded actively or very much in size of late, trade data show:

  • Energy Future Intermediate Holdings 11.25% senior PIK toggle notes due 2018; recent trades in the Ch. 11 paper were at 107.5.
  • Sun Products 7.75% senior notes due 2021; recent trades were at 87.5, versus 90 a month ago and the low 70s a year ago.
  • iHeartCommunications 14% partial-PIK exchange notes due 2021; block trades today were at 30 and 32, from 27 last month.
  • New Enterprise Stone & Lime 11% senior notes due 2018; odd lots traded recently in the low 80s, versus mid-80s last month.
  • Liberty Tire Recycling 11% second-lien PIK notes due 2021 privately issued in an out-of-court restructuring; trades reported in the mid-60s.

Amid those any many others of a similar ilk, the fund also reports a holding in Vertellus B term debt due 2019 (L+950, 1% LIBOR floor). The chemicals credits put the $455 million facility in place in October 2014 as part of a refinancing effort, pricing was at 96.5, and it’s now at 78/82, sources said.

“Investor requests for redemption … in addition to the general reduction of liquidity in the fixed income markets, have made it impracticable for FCF going forward to create sufficient cash to pay anticipated redemptions without resorting to sales at prices that would unfairly disadvantage the remaining shareholders,” according to the company statement.

“In line with its investment approach, FCF has some investments in companies that have undergone restructurings in the last eighteen months, and while we believe that these investments are likely to generate positive returns for shareholders over time, if FCF were forced to sell those investments immediately, it would only realize a portion of those investments’ fair value given current market conditions,” the statement outlined.

Further details are available online at the Third Avenue Management website. — Matt Fuller

Follow Matthew on Twitter @mfuller2009 for leveraged debt deal-flow, fund-flow, trading news, and more.

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High grade bonds: Whole Foods doubles bond offering to fund stock buybacks

After doubling the deal size, Whole Foods Market today completed a $1 billion offering of 5.2% notes due December 2025 at T+300, or 5.218%. The issue, which was originally marketed at $500 million, was printed through early whispers in the low-T+300s.

Proceeds will be used for working capital and general corporate purposes, including stock repurchases and the repayment of indebtedness from time to time. On Nov. 4, after releasing quarterly earnings that missed expectations, Whole Foods also announced a new $1 billion share repurchase program. The new authorization does not have an expiration date.

Austin, Tex.–based Whole Foods operates natural and organic foods super markets.

Earlier today, Standard & Poor’s assigned a BBB– rating to the new 10-year notes. “Our ratings and the negative outlook on the corporate credit rating reflect our view that Whole Foods remains the leader in the natural and organic sub segment of the highly fragmented food retail industry, yet its overall share of the food retail industry is still relatively small and under pressure,” the agency said today.

Following the buyback announcement earlier this month, S&P revised the outlook on its BBB– rating to negative, from stable, reflecting the “expectations that Whole Foods’ credit protection measures could weaken below our previous forecast over the next two years because of less conservative financial policies combined with weaker operating performance. We anticipate that the company will encounter difficulties in achieving its operational goals in light of its shift in strategic priorities. This includes focusing more on price investments and expense management in response to declining sales trends,” the agency said on Nov. 5.

On Nov. 10, Moody’s assigned a Baa3 senior unsecured rating to Whole Foods. “Despite recent weakness in operating performance and the potential of a $1 billion increase in funded debt to primarily finance share repurchases, the company’s proforma credit metrics will remain strong with lease adjusted leverage of about 3.1 times. We expect management initiatives including price investments, cost cuts, expense control and moderation in new store growth to result in improved profitability in the next 18-24 months,” analysts said. Terms:

Issuer Whole Foods Market
Ratings BBB-/Baa3
Amount $1 billion
Issue 144A/Reg S (with registration rights)
Coupon 5.200%
Price 99.861
Yield 5.218%
Spread T+300
Maturity Dec. 3, 2025
Call Make-whole T+45 until notes are callable at par from three months prior to maturity
Trade Nov. 30, 2015
Settle Dec. 3, 2015
Books JPM/MS
Px Talk IPT low-T+300s
Notes Upsized from $500 million
Proceeds will be used to fund a share repurchase program
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High yield bond prices fall again, testing the 90 threshold

The average bid of LCD’s flow-name high-yield bonds fell 58 bps in today’s reading, to 90.35% of par, yielding 10.05%, from 90.93% of par, yielding 9.75%, on Nov. 17. Performance within the 15-bond sample was mixed, with five gainers, three unchanged issues, and seven decliners.

Today’s decline is a sixth consecutive observation in the red, and it pushes the average deeper below the four-year low of 91.98 recorded on Sept. 29. As such, the current reading that is testing the 90 threshold is now a fresh 49-month low, or a level not seen since 87.93 on Oct. 4, 2011.

The decrease in the average bid price builds on the negative 104 bps reading on Tuesday for a net fall of 162 bps for the week. Last week’s losses were deeper, so the average is negative 410 bps dating back two weeks, but the trailing-four-week measure is a hair less, at negative 392 bps.

Certainly there has been red across the board, but several big movers of late continue to greatly influence the small sample. For example, California Resources 6% notes are off four points today amid the energy sector slump, for nearly a 12-point decline since the issuer launched a near-distressed uptier bond exchange. Scientific Games 10% paper, as well, is down nearly 11 points over the past two weeks since the company reported disappointing quarterly results.

Today’s negative reading would certainly have been worse if not for the past two days of better market conditions. Indeed, Tuesday was stronger and Wednesday saw firm follow-through for essentially the first positive momentum after the two-week slump tied to retail cash outflows and rising U.S. Treasury yields. Today’s turn back into the red has no obvious catalyst, but, as noted, energy is being hit hard.

As for yield in the flow-name sample, the plunge in the average price—with many names falling into the 80s and a couple of others more deeply distressed—has prompted a surge in the average yield to worst. Today’s gain is 30 bps, to 10.05%, for a 2.21% surge over two weeks. This is a 13-month high and level not visited since 10.21% recorded on Dec. 16, 2014 at the depths of the market sell-off in late 2014.

The average option-adjusted spread to worst pushed outward by 17 bps in today’s reading, to T+744, for a net widening of 144 bps dating back two weeks. That level also represents a wide not seen since December of last year. The lesser move of spread versus soaring yield can be linked to the Treasury market sell-off, as noted above, as rising underlying yield encourages spread compression.

Both the spread and yield in today’s reading are now much wider than the broad index. The S&P U.S. Issued High Yield Corporate Bond Index closed its last reading on Wednesday, Nov. 18, with a yield to worst of 7.72% and an option-adjusted spread to worst of T+628.

Bonds vs. loans
The average bid of LCD’s flow-name loans fell 11 bps, to 96.40% of par, for a discounted loan yield of 4.41%. The gap between the bond yield and discounted loan yield to maturity is 564 bps. — Staff reports

The data

  • Bids fall: The average bid of the 15 flow names dropped 58 bps, to 90.35.
  • Yields rise: The average yield to worst jumped 30 bps, to 10.05%.
  • Spreads widen: The average spread to U.S. Treasuries pushed outward by 17 bps, to T+744.
  • Gainers: The largest of the five small gainers was the Dollar Tree 5.75% notes due 2023, which added three quarters of a point, to 102.5.
  • Decliners: The largest of the seven decliners was the California Resources 6% notes due 2024, which fell squarely four points, to 57.
  • Unchanged: Three of the 15 constituents were unchanged in today’s reading.
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Inaugural Paddle Battle Tournament charity event to be held on Nov 5

RBC Capital Markets is partnering with the private equity community to host an inaugural charity ping pong tournament to support NYC Youth, which will be held on Nov. 5, 2015.

The money raised by the event will be split evenly among four charity partners: Harlem RBI, The Opportunity Network, The TEAK Fellowship, and Youth INC. The winning two-person team of the tournament will receive a $25,000 grant in their name to a youth-oriented charity of their choice.

The Paddle Battle Tournament will be held at SPiN NYC on 23rd Street, beginning at 6 p.m. EDT. There will be a full bar and heavy hors d’oeuvres served.

Registration is open and teams should be finalized by Oct. 22. For more information and to register or donate, go to RBC Paddle Battle. — Staff reports

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LCD’s High Yield Market Primer/Almanac Updated with 3Q Charts

LCD’s online High Yield Bond Market Primer has been updated to include third-quarter 2015 and historical volume and trend charts.

The Primer can be found at HighYieldBond.com, LCD’s free website promoting the asset class. HighYieldBond.com features select stories from LCD news, weekly trends, stats, and analysis, along with recent job postings.

 

We’ll update the U.S. Primer charts regularly, and add more as the market dictates (new this time around: an historical look at Fallen Angels, courtesy S&P).

Charts included with this release of the Primer:

  • US High Yield Issuance – Historical
  • 2015 High Yield Issuance, by Purpose
  • High Yield LBO Issuance
  • Fallen Angels – Historical
  • Cash Flows to High Yield Funds, ETFs
  • PIK Toggle Issuance (or lack thereof)
  • Yield to Maturity: Historical, Recent

LCD’s Loan Market Primer and High Yield Bond Market Primer are some of the most popular pieces LCD has published. Updated annually (print) and quarterly (online) to include emerging trends, they are widely used by originating banks, institutional investors, private equity shops, law firms and business schools worldwide.

Check them out, and please share them with anyone wanting an excellent round-up of or introduction to the leveraged finance market.