LFI Relative Value Report: Yield gap between loans and unsecured bonds widens to a 2-year high, but tightens with 1Ls
Robert Polenberg: Senior Director
Yasemin Esmen: Senior Reporter
16 September 2026
- How loan and bond pricing movements are reshaping relative value across capital structures.
- What widening unsecured bond yield gaps may reveal about evolving market conditions.
- Why secured bond yields are moving closer to comparable loan yields.
- Which issuer level movements are influencing loan and bond yield comparisons.
- Where shifting prices may create important signals for deeper credit analysis.
Executive Summary
Loan pricing remained firmer than bond pricing across the reviewed issuer universe. Unsecured bond weakness widened relative yield separation.
However, secured bonds moved closer to loans as their yield difference narrowed. Price declines were more pronounced among unsecured bonds.
Relative value conditions diverged according to capital structure seniority. Investors can compare pricing and yields across selected issuers.
Issuer activity influenced trading conditions in existing notes. Meanwhile, refinancing developments added context for capital structure analysis.
Market movements highlight changing relationships among loans and bond categories. The full report provides issuer level data supporting deeper comparison.
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