Right now, behind the index level spread, we really see massive dispersion between that bulk of haves and the tale of have-nots, right?

The median high-yield bond and leveraged loan issuer is trading at very tight spreads, tighter than the average.

But when you look below the hood, that really obfuscates the amount of dispersion that there is in securities prices.

And so what we see is the dollar amount of debt that is trading below ninety dollar price and above fifteen percent yield to maturity is over two hundred billion of debt across over two hundred and fifty issuers currently, which is actually a very large amount.

And it's really concentrated in the twenty twenty-one and twenty twenty-two LBOs and debt deals that were done in that period of time.

And with the average maturity of six years for leveraged loans and high-yield bonds, that debt really starts to come due in twenty-seven and twenty-eight.

And so what we see is that the opportunity set for that vintage of deals, we're about to go into the maturity cycle.

What could happen next? What could a potential solution look like?