Deutsche Bank sees private capital gaining larger role as credit spreads near record lows, survey shows
DB•Deutsche Bank said sub-investment-grade credit spreads were near all-time lows, while 46% of survey respondents expected private capital to be the top debt-market trend.
1. Survey findings
Deutsche Bank flagged near-record-low sub-investment-grade credit spreads, which it said give borrowers more flexibility on refinancing, investment and M&A funding. In a London survey, 93% of respondents said debt pricing or tenor availability had become more favorable across broader debt markets, and 46% cited private capital as the top expected trend, reflecting demand for tailored terms and execution certainty.
2. Funding options
The survey found that 23% expected greater ability to diversify into niche currency markets. The report also pointed to pre-funding ahead of maturities as a way to lock in certainty, subject to carrying costs and maturity profiles.
