The Senior Loan Officer Opinion Survey (SLOOS) & The Credit Cycle
How the Federal Reserve
8 Credit & Liquidity Primers
Showing 8 Primers
Credit & Liquidity: Corporate Spreads, Private Debt & Fragility
Corporate credit spreads, Option-Adjusted Spread (OAS) analysis, commercial paper funding channels, bank lending standards (SLOOS), and private credit underwriting dynamics.
Private Credit vs. Broadly Syndicated Loans: Direct Lending & Floating-Rate Stress
Understanding the $1.7T private debt market: direct lending vs. BSL/CLOs, floating-rate debt service coverage, and Payment-in-Kind (PIK) toggle risks.
Commercial Paper (CP) Markets, Prime MMFs & Short-Term Corporate Funding
How large corporations access unsecured short-term funding via Commercial Paper, Tier-1 vs. Tier-2 spreads, and liquidity linkages with Prime Money Funds.
Financial Conditions: The Transmission Bridge to Asset Prices
How Treasury yields, credit spreads, equity valuations, and the dollar combine into financial conditions that drive economic growth.
Credit Spreads: The Market's Price of Default & Recession Risk
Investment Grade (IG) vs High Yield (HY) spreads, Option-Adjusted Spread (OAS) mechanics, and credit cycle expansion.
High-Yield OAS as a Systemic Risk-Off Indicator
How High-Yield Option-Adjusted Spread (HY OAS) serves as a leading macro indicator for liquidity stress and stock drawdowns.
Commercial Real Estate (CRE) Debt & Refinancing Cycles
Cap rate expansion, Net Operating Income (NOI), regional bank loan exposure, and navigating commercial mortgage maturity walls.
Collateralized Loan Obligations (CLOs): Tranche Structures, Cash Flow Waterfalls & Par Value Tests
Institutional mechanics of broadly syndicated loan CLOs: AAA-to-equity subordination, Overcollateralization (OC) and Interest Coverage (IC) par value tests, and cash flow diversion.