Bloomberg Accelerates Its Presence in Loans Market with Launch of a New Leveraged Loan Index Based on New Syndicated Loans Data and Pricing Solution

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Oct 15, 2024, 08:30 ET

Newly launched leveraged loan index builds on interconnected data solutions to deliver investors much needed insight into a traditionally opaque asset class

NEW YORK, Oct. 15, 2024 /PRNewswire/ -- Bloomberg today announced the launch of a global syndicated loans offering to help investors assess and act on opportunities in these complex markets. The offering includes Syndicated Loans Data Solutions covering 74,000 active syndicated loan tranches globally, a New Issues data feed that captures real-time announcement updates, as well as enhanced pricing from Bloomberg's evaluated pricing service (BVAL). To support clients' need for robust benchmarking, Bloomberg launched a US Leveraged Loan Index, covering 1,300 leveraged loans with $1.3 trillion in market value.

Benchmarking with Bloomberg Indices

The Bloomberg US Leveraged Loan Index is the latest extension of Bloomberg's fixed income index suite and will apply the same rigor of objectivity, representativeness and transparency, which has made the Bloomberg Fixed Income Indices industry-leading for more than 50 years. The index will serve as a credible portfolio benchmark, informational measure and as a reference for index-linked products for US leveraged loan investors.

"We've seen tremendous demand for access to the leveraged loan markets in a more transparent way. With Bloomberg's new Leveraged Loan Index and underlying data solutions, we are delivering a game-changing alternative and addressing gaps for investors in these markets," said Nick Gendron, Head of Fixed Income Index Product at Bloomberg Index Services Limited. "This launch represents a significant milestone in our commitment to expand the Bloomberg Fixed Income Indices offering and deliver enhanced value to our clients."

The Bloomberg US Leveraged Loan Index is comprised of 1,300 loans with $1.3 trillion in market value, with history going back to January 2019. Key features include:

Built with proprietary pricing from Bloomberg's award-winning evaluated pricing service, BVAL, to deliver precise and timely insights into loan performance
Similar to all Bloomberg fixed income indices, the availability of both a returns universe, which will be updated at month-end rebalances, as well as a projected universe, which will be updated and published daily, provides investors with a view into the projected composition of the index at the upcoming index rebalance
Ability to create composite index blends with other flagship Bloomberg indices, such as a High Yield + Loans Index
Financial Industry Global Identifier (FIGI) and Bloomberg's ID BB used as loan identifiers, resulting in enhanced interoperability with Bloomberg's loan reference data and streamlined trade workflows
Transparent, rules-based methodology ensuring clarity in its construction and rebalancing processes
Seamless integration with the Bloomberg Terminal including daily constituent updates via MEMB <GO> and portfolio analytical capabilities via PORT <GO>

Capturing loan syndication and timely announcements with Bloomberg's interconnected data

Foundational to the new Leveraged Loan Index is Bloomberg's Syndicated Loans Data Solutions, which cover the global invested syndicated loans markets with data going back 15 years. This database consists of 74,000 active loans, spanning 200+ countries, in 85+ currencies with BVAL pricing loans every day across multiple snapshots. This data can be used to facilitate price and liquidity discovery within trading workflows, enhance operational processes with security master and price data management and support regulatory compliance. For newly issued loan setup and automated awareness, Bloomberg provides a real-time New Issues feed to monitor leveraged loans launched in the market and their evolving deal information.

Bloomberg's syndicated loans data can be accessed intraday via B-PIPE, and end-of-day either on the desktop via Bloomberg Terminal or across the enterprise with Data License, or through DL+ for managed access. Bloomberg Terminal clients can access the Bloomberg Leveraged Loan Index (Ticker: LOAN) at {LOAN Index <GO>} and monitor newly issued loans at {PREL <GO>}. View relevant factsheets, methodologies and research for the new indices on the Bloomberg Fixed Income Indices publications page.

About Bloomberg Index Services Limited
Bloomberg's index team has a proven track record in creating industry-leading and bespoke indices across asset classes, including their flagship fixed income, commodity and equity indices. Bloomberg Index Services Limited (BISL) takes an innovative approach to delivering strategic benchmarks that help market participants address their evolving investment needs. The indices, which are seamlessly integrated with other Bloomberg solutions, draw on a comprehensive range of trusted data and reliable technology for calculations, analytics and workflow automation, along with distribution capabilities that can help amplify the visibility of our customers' products.

About Bloomberg
Bloomberg is a global leader in business and financial information, delivering trusted data, news, and insights that bring transparency, efficiency, and fairness to markets. The company helps connect influential communities across the global financial ecosystem via reliable technology solutions that enable our customers to make more informed decisions and foster better collaboration. For more information, visit Bloomberg.com/company or request a demo.

SOURCE Bloomberg