Private Debt

Free CFA Level III: Private Markets lesson in Private Debt. 21 min read, ~3,153 words.

Debt financing scales across the life cycle: venture debt at startup, leveraged loans at buyout, HY bonds at refinancing, convertibles at growth or late-stage equity transition. Leveraged loans are senior secured, floating-rate (SOFR + 300-700bp), covenant-lite in syndicated form; high-yield bonds are fixed, unsecured, incurrence-only covenants; convertibles trade coupon for...

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