US Borrowers Shift to Bank Loans Amid High Private Credit Costs
Borrowers are moving to the syndicated market where loans are 200 basis points cheaper than direct lending. Deals worth 4.3 billion dollars have switched recently.
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Insights:
Xurve View
United States borrowers are moving $4.3B into syndicated loans as pricing sits 200 bps below direct lending rates. Junk loan spreads average 350 to 400 bps over SOFR, while private credit reaches 600 bps. This shift signals banks are reclaiming market share from non-bank lenders amid rising redemption pressures.
