U.S. Leveraged Loan Fund Outflows Rose to Fresh Record High
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U.S. leveraged loan funds saw $3.53 billion of net outflows in the week ended Dec. 26, the biggest on record, according to Lipper.
Investors pulled $2.9 billion from mutual funds that buy the debt, according to Lipper. Exchange-traded funds meanwhile lost $626 million, Lipper data show. It was the sixth straight week of outflows. Fund flows are contributing to negative sentiment that is weighing on secondary prices, which are at the lowest level since July 2016, according to the S&P/LSTA Leveraged Loan Price Index.