Summary: With leveraged lending-related risk on regulators’ minds — and on the agenda of the House Financial Services Committee tomorrow — we discuss the issue with ABA Senior Economist Curtis Dubay. He explains how the leveraged loan market works, why banks are not heavily exposed, why the investment vehicles that hold most leveraged loans are safer today and why today’s leveraged lending sector is not expected to channel systemic risk in the same way as subprime real estate loans before the financial crisi
