Financial Times FT.com

Capital markets: Funds are ousting the banks

By Gillian Tett

Published: April 27 2007 04:16 | Last updated: April 27 2007 04:16

This month a striking new statistic tumbled out of Europe’s vast – but somewhat shadowy – leveraged loan sector. For the first time, banks account for less that half of activity in the primary leveraged finance market, acording to Standard & Poor’s Leveraged Commentary Data.

That compares to 90 per cent at the start of the decade – and an even higher proportion in previous decades, when banks controlled the loan space in Europe.

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