While enthusiasm for the US high-yield and distressed debt markets cooled somewhat over the summer, the focus for investors in distressed debt may be set to move to Europe.
US high-yield funds have been posting net outflows since late July, reversing a nine-month trend of strong inflows. And according to AMG Data, a record $2.6 billion flowed out of US high-yield funds in the first week of August.
Many distressed debt investors are now eagerly seeking opportunities in Europe. Ann S