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Navigating the Loan Landscape: US vs Europe
This chapter examines the influence of interest rates and hedging costs on the lending markets in the US and Europe, focusing on the stability of US loan carry. It highlights trends in the collateralized loan obligation (CLO) market and discusses expectations for leveraged loans in 2025, underpinned by demand from European funds. The conversation further explores the impact of market dynamics such as tariffs and the importance of credit analysis in shaping investment decisions.