Cash stops flowing. Leverage increases. Marks get cooked. This will surely end well.

junkbondinvestor
@junkbondinvest
58% of PIK in private credit is "bad PIK" per Lincoln. Borrower stops paying cash. Lender accepts more debt instead. Everyone marks it at par. This is called "performing."
From Twitter
Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
Like
Add to Favorites
Comments