Oaktree's Panossian: Size, Frequency of Deals Is Down

The transcript discusses the retrenchment of banks post-global financial crisis and Oak Tree's role in filling the lending void. It highlights the decline in deal sizes and market trends, particularly in leveraged buyouts. The impact of rising interest rates on private credit is examined, noting the increased risk and need for new capital structures.

What has been a significant consequence of the retrenchment of big banks and regional banks?

• Expansion of lending activity

• Increased lending activity

• Decline in lending activity

• Stable lending activity

How have publicly traded companies reacted to changes in their market valuations?

• They prefer to stay public

• They are eager to transact at new valuation multiples

• They are merging with other companies

• They are selling off assets

What is a key factor that has changed the modeling of potential returns in private credit?

• Decrease in interest rates

• Increase in interest rates

• Fluctuating interest rates

• Stable interest rates

What is the impact of rising interest rates on the risk profile of borrowers?

• It stabilizes the risk profile

• It increases the risk profile

• It has no effect on the risk profile

• It decreases the risk profile

What challenge do businesses face with their capital structures due to increased borrowing costs?

• Their capital structures are underwater

• They have excess cash flow

• Their capital structures are stable

• They have reduced borrowing costs