6 min readAs the US economy emerges from the severe economic dislocation of the pandemic, early indications point to a strong recovery in 2021, with GDP growth poised to exceed 6% based on annualized first quarter data. Expansionary fiscal and monetary policy, healthier household balance sheets, and pent-up consumer demand are likely to significantly boost economic activity….
6 min readBecause credit card asset-backed securities (ABS) are tied directly to the strength or weakness of consumer finances, economic downturns can be perilous to their health. Therefore, it’s no surprise that the high unemployment and low consumer spending in the current economic downturn are putting ABS under scrutiny. So far, however, this class of securities has…
5 min readThe coronavirus pandemic has forced firms across industry groups to shore up liquidity in order to weather depressed revenue streams. These conditions, coupled with accommodative economic policies, led to a spur of borrowing during the first half of 2020. Due to this current climate, many companies are having trouble finding solid financial footing, leading to…
17 min readDOWNLOAD FULL REPORT Abstract The 2014 money market fund reform brought forth drastic change to the corporate cash management landscape, significantly impacting investors, issuers and fund sponsors. While there is little doubt that money market funds are more resilient following the implementation of the reform’s higher credit, liquidity, transparency, and oversight standards, it also had…
20 min readDOWNLOAD FULL REPORT Abstract As the post-recession credit cycle matures and a period of historically low interest rates ends, investors are paying increased attention to the rise of corporate leverage. Companies have borrowed heavily in the past decade to fund M&A activity and investor payouts. This has resulted in significant growth in BBB-rated debt for…
14 min readCo-authored by: Matthew Paniati Abstract The past few years have been mostly predictable for investors, with an expanding economy accompanied by steadily rising interest rates and asset prices. In this two-part series, we examine some recent developments and their implications for the current environment. In part two, we look at the current state of fiscal…
4 min readRegardless of what you might think about cryptocurrencies, blockchain technology represents an undeniable breakthrough in how we manage information. In the last couple of years, interest in the sector has increased materially, with investments by the top 50 VC firms in the field exceeding $600 million in the first half of 2018 alone. It won’t…