As banks reopen their credit lines, investors are jostling for the lucrative yields, mainly offered by risky loans and bonds. The problem, however, is not so much the risk – but the lack of supply.

Europe has only seen eight deals from European issuers in the primary leveraged loan market this year, a far cry from the bonanza dominating the broader market. Issuance in traditional European syndicated loans, where deals are arranged by a group of banks on behalf of companies, hit $76bn in the year to February 21, or 18% more than last year.