Leveraged Finance Regulatory Reform
Since 2013, the bank regulators’ leveraged lending guidance has been a thorn in the sides of major bulge-bracket banks. These bank lenders have adapted to a “new normal” environment of increased compliance costs, and steady loss of market share to unregulated lenders. This summer, however, the changing regulatory tide seems to be reaching the leveraged finance market. Our report breaks down key reform initiatives now underway, and the commercial impact on market participants.