December 26, 2018・Key Gold Headlines
Leveraged Loan Market Comes Unglued
As WolfStreet put it, the $1.3 billion leveraged loan market has come unglued. “Leveraged loans” are made to firms already deeply in debt. Think subprime loans for corporations. As with any risky loan, they could be difficult to either collect or resell in a downturn, putting both the borrower and lender at risk.