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Leveraged Loan Default Rate Dips

The Leveraged Loan Market's Tepid Recovery: What It Means for Creditors The latest numbers from the Morningstar LSTA US Leveraged Loan Index (LLI) show that payment default rates have continued to decline, dipping to 0.

87% by amount and 1. 17% by count in August. The dual track default rate has ticked up slightly to 2. 88%.

At first glance, this may seem like good news for creditors, but a closer examination of the data reveals that the market is still far from full recovery.

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