KBRA released an updated report that tracks several reported metrics within recurring revenue loan securitizations. In this report, an update to its May analysis, KBRA tracks several key metrics sourced from quarterly collateral loan tapes provided by the issuers of KBRA-rated RRL securitizations, in dashboard form.

While average cash balances and liquidity cushion remain healthy, annual recurring revenue was slightly down quarter over quarter, marking a decline for the first time since Q4/21. Once again, there were no defaulted assets reported for the quarter. However, some managers recently exited positions where borrowers have either had their debt restructured or entered nonaccrual status owing to underperformance in a higher interest rate environment.

The report is available online: https://www.kbra.com/publications/ftVmZdYQ/recurring-revenue-loan-metrics-dashboard-august-2024-update?format=file.