Talk:Syndicated loan

This is an assertion without evidence: "If the banks cost of funds is a hypothetical 5 %, it needs to charge more than 10 % interest on the loan to make a profit."

Perhaps it should say "If the banks cost of funds is a hypothetical 5 %, it may feel that it needs to charge more than 10 % interest on the loan to make a profit." (Which is more acceptable to state without support.)

Or "If the banks cost of funds is a hypothetical 5 %, it needs to charge more than 5 % interest on the loan to make a profit." (Which is self evident.)

Isn't the point of that example dependent on the idea that 5% of the loans aren't repaid? In which case your expected return is .95*(1+r)-(1+.05) (i.e., 1.05*X goes out the door and (1+r)*.95*X comes back, so your profit is the difference) and solving for r=1.05/.95-1 yields a breakeven of just over 10%. It's obviously an oversimplified example, but the point of syndication is to spread around the risk of not getting paid back, not jsut make a profit. Your example would apply to any loan. Afelton 20:42, 18 October 2006 (UTC)

The main reason Syndicated Lending is undertaken in Asia (and Australia where I work) is risk migigation and large exposure management. Return concepts have little bearing. This section should certainly be removed from importance as I believe Eurpoe is the same as Asia in this regard. ShirtyBear (talk) 03:50, 15 August 2008 (UTC)

No References

Hi,

Please supply a reference for the information for rankings, otherwise I will remove.

Cheers muj --ImperialCollegeGrad 16:14, 4 April 2007 (UTC)

Rankings need to be updated from one of the League Table providers annually. Reuters is a very prominent one (http://www.loanpricing.com/) but I am unsure of their flexibility in terms of reproduction of this information. Bloomberg and Deal Logic also compile statistics from Bank submissions. ShirtyBear (talk) 03:50, 15 August 2008 (UTC)

Parochial & Patronising

Don't want to edit main page, might screw it up, but the EMEA syndicated loan market is not 'much smaller'. 2007 YTD (06/09) volumes from Loanware - United States 1,547,587.20 vs EMEA 1,163,900.30. Europe's also notable for having several loans larger than the largest US deal. http://gib.dealogic.com/ —Preceding unsigned comment added by 141.228.106.137 (talk) 13:04, 6 September 2007 (UTC)

Someone's changed it, it's still nonsense and to boot incredibly US-centric. The European synloan market is in no way run by the American banks - the only ones with any leadership are Citi, JPM and to a lesser extent BoA. Here's the bookrunner league table as of today for EMEA '07 - again from dealogic

1 RBS 71,174.46 72 9.17 2 Barclays Capital 52,796.74 52 6.80 3 BNP Paribas 44,228.42 116 5.70 4 SG Corporate & Investment Banking 43,191.25 55 5.56 5 Citi 39,922.03 65 5.14 6 Deutsche Bank 36,892.85 23 4.75 7 Calyon 35,045.83 67 4.51 8 ABN AMRO 32,001.02 32 4.12 9 UBS 25,055.40 5 3.23 10 HSBC 19,973.69 32 2.57

Count 'em. ONE US bank. —Preceding unsigned comment added by 141.228.106.137 (talk) 13:34, 13 September 2007 (UTC)

I agree. Completely ignores Asia also. Sections for North America/EMEA/Asia should be compiled with research on Latin America which is also a growing market. ShirtyBear (talk) 03:50, 15 August 2008 (UTC)

Someone keeps deleting Barclays out of the EMEA list. Is it personal? It's wrong, anyway... —Preceding unsigned comment added by 141.228.106.137 (talk) 15:26, 24 September 2008 (UTC)

More info about the topic.....

• http://scholar.google.com.hk/scholar?hl=en&q=allintitle%3A+syndicated+lending&btnG=Search&as_sdt=2000&as_ylo=&as_vis=0

--222.64.31.191 (talk) 07:57, 28 April 2010 (UTC)

Compliance issue

• http://scholar.google.com.hk/scholar?hl=en&q=allintitle%3A+loan+lender+compliance&btnG=Search&as_sdt=2000&as_ylo=&as_vis=0
• http://scholar.google.com.hk/scholar?hl=en&q=allintitle%3A+loan+lending+compliance&btnG=Search&as_sdt=2000&as_ylo=&as_vis=0

--222.64.31.191 (talk) 08:08, 28 April 2010 (UTC)