Outlooks

Like the Fed’s 1995 mid-cycle recalibration, credit markets are supported by strong credit fundamentals and constructive technicals.

The ingredients for a market rebound are present, setting the table for a more appetizing menu of investment opportunities in 2025 and beyond.

Active managers appear set to showcase risk management and credit selection as value narrows and loss mitigation becomes central.

Fundamentals have been impressively resilient in the face of higher rates and new supply, but financing costs are driving a wedge between buyers and sellers.

Momentum and optimism are both driving markets. But election-related policy uncertainty could impact investors.

Continued economic stability has fostered healthy fundamentals in most leveraged credit, but risks are accumulating in loans to lower-rated private borrowers.