Institutional loan volume will climb this year and next in line with investor demand, according to a new survey of market participants by the Loan Syndications and Trading Association.

Nearly half of survey respondents — who are LSTA members including banks, investors and traders — forecast annual institutional loan issuance to reach $500 billion or more in coming years, up from $295 billion in 2012. More than half the respondents expect outstanding loan volume in the S&P/LSTA Leveraged Loan Index to exceed $650 billion by the end of 2014. It has already increased from $550 billion in December 2012 to $623 billion in September 2013.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.