Five Distinct Approaches
Lender Marking Rights
Five structural approaches — from daily price marks to borrower-driven valuations. The differences determine who marks, when, at what frequency, and what dispute rights exist.
I
MTM: Daily Price
JPMorgan
Calculation Agent marks in its sole discretion — referencing Markit/LoanX/TRACE for traded assets, but applying its own determination for originated private credit loans with no secondary market quote. Margin calls trigger on price decline alone — no credit event required. A broad secondary market sell-off can generate a Borrowing Base Deficiency on a portfolio of performing loans. Dispute via a pre-approved 3rd-party val shortlist; no synthetic bid.
ⓘ Exception JPMorgan waives daily-MTM for GSAM: non-recourse, single NAV ratio (60%) as sole trigger, zero price marks. JPM goes from least to most borrower-friendly for flagship mandates.
II
MTC: Breach → Agent Re-mark, Auto-reset on Cure
BNP Paribas
MTC on discrete credit triggers (leverage, ICR, payment default, MAC). Agent assigns a revised value upon breach. Assets enter on eligibility criteria — no per-asset approval. Upward re-marking is event-driven: when cure financials arrive, the asset automatically resets to par-OID — no borrower request, no quarterly gate. Dispute via 3rd-party val firm or firm cash bid (≥$5M); no synthetic bid.
III
MTC: Breach → Agent Re-mark, Borrower-Initiated Reset
Morgan StanleyCitiWells FargoBofASocGenNatixisSMBCCIBCCitizensAlly BankDeutsche Bank*
Marks fire on discrete credit events (leverage breach, ICR breach, payment default) — not price movements. Agent assigns a revised value on breach. Recovery requires borrower initiative: upward re-marking is not automatic on cure — the borrower must request a quarterly reset and the agent must confirm. Assets enter on eligibility criteria; no per-asset friction. Dispute via 3rd-party val firm panel; no synthetic bid. Morgan Stanley runs a bifurcated variant: liquid assets follow daily MTM while private credit follows the Revaluation Event model.
IV
MTC: Breach → Ongoing Lender Discretion + Synthetic Bid
Goldman Sachs
MTC on discrete breach events. Post-breach, the Calculation Agent retains ongoing discretionary re-marking authority — not just a one-time reset. Per-asset approval required at entry. Upward re-marking is borrower-requested quarterly. Critically: dispute resolution uniquely permits a synthetic bid through maturity (CDS, TRS, or equivalent) — the lender can hedge the exposure rather than forcing a sale. The lender doesn't control assets in the vehicle, but the synthetic clause gives them actual derisking authority on a per-position basis.
V
Insurance Capital Platform
BXCI (Blackstone)
Insurance-capital-funded lenders with a structurally distinct valuation model. BXCI: borrower (HPS) marks on an ongoing basis — BXCI only intervenes on discrete Revaluation Events with per-loan bespoke triggers set at entry. ARs: 67.5% senior / 35% 2L. SOFR+2.95%. No Basel capital constraints; insurance float funding. Barings: bespoke bilateral, not publicly filed.
What the Data Shows
Key Findings
Terms Ebb & Flow With the Market
The amendment record through 2024 reflects the peak of borrower-friendliness in back-leverage. Conditions have since turned.
Across the dataset, amendments from 2020–2024 show systematic compression in spreads, widening in advance rates, and extended reinvestment periods — all reflecting abundant liquidity and fierce inter-bank competition for mandates. In April 2026, the same banks that disclosed $185B+ in back-leverage exposure simultaneously confirmed pricing moving in the opposite direction: spreads rising 50–150bps, some facilities repricing to SOFR+3%+. The terms in this dataset are a lagging indicator. They document the high-water mark of borrower-friendliness — not the current trajectory.
JPMorgan Has the First-Mover Clock
The most consequential difference between Approach I and Approaches III/IV isn’t the mark itself — it’s when the clock starts.
Approach I — JPMorgan
Day 0
Adverse market move or price decline. No credit event required.
Same day
JPM marks down — CA sole discretion, Markit/LoanX reference for liquid; own determination for private credit.
T+1
Borrowing Base Deficiency triggered. Margin call issued. Borrower has 3 business days to cure.
Ongoing
JPM can deny new asset inclusions, tightening the borrowing base further. Derisk lever fully engaged.
Approach III/IV — MTC Lenders
Day 0
Adverse market move. No action. MTC lenders must wait for fundamental credit deterioration.
Weeks/months later
Credit event fires: NSL breach, ICR breach, payment default, or rating downgrade.
Revaluation Event fires
Agent assigns Value Adjusted Assigned Value. Single-touch vs. double-trigger determines whether this fires at all.
Next quarter
Upward re-mark? Borrower must request. Agent must confirm cure. Quarterly gate — one-way ratchet in volatile markets.
Scale Is the Real Variable
Terms are a spectrum. Same borrower, different banks — different terms. Same bank, different borrowers — still different terms. The most extreme example: the least borrower-friendly lender in this dataset becomes the most, for the right borrower.
BorrowerLenderWhat scale bought
Oaktree
JPMDBMSSMBCCIBC
5 simultaneous facilities — agents compete for allocations, borrower optimizes total capacity
Ares / ARCC
CitiWellsBNP
72.5% BSL advance rate; tighter Revaluation Event thresholds; pension fund co-lenders brought to table
HPS
MSBofABNPBXCI
5-lender suite (HLEND A–E) across the full approval spectrum: per-asset, eligibility, insurance capital
Goldman Sachs AM
JPMorgan
Zero price marks. Non-recourse. Single NAV ratio as sole trigger. From the least borrower-friendly lender in this dataset.
Per-Asset Consent vs. Eligibility Boxes
Whether a lender approves assets individually or via eligibility criteria reflects a deliberate philosophy — not just operational style.
Per-Asset Consent
JPMorganGoldman
- Lender vets every inclusion individually — JPMorgan via a pre-approved portfolio list; Goldman and Barclays via affirmative per-asset consent
- Avoids adverse selection — manager can’t cherry-pick or shuffle collateral
- Lender gains informal leverage in a tightening cycle: can slow-walk new approvals without amending the facility
- More friction for the manager; more control for the lender
Eligibility Box
BNPCitiWellsMSBofA
- Structure defined at close: any asset meeting the criteria is in automatically
- No per-inclusion friction — operationally clean for the manager
- Lender cedes real-time control over collateral composition to the eligibility parameters
- Less leverage over new inclusions post-close
MTC Isn’t One Size Fits All
All MTC facilities look similar on the surface. The second-order details — when a trigger fires, whether it resets automatically, how re-marks compound — determine the real risk profile.
The gap between a single-trigger and a double-trigger structure is significant. The Revaluation Event double-trigger requires both absolute AND relative deterioration: Net Senior Leverage must exceed 4.25x and be 0.50x above origination; ICR must fall below 1.50x and be below 85% of origination. A borrower with modest leverage at origination can have a bad quarter without triggering anything. A single-touch trigger fires on the first breach, regardless of baseline.
Then there’s the reset question. BNP’s auto-reset on cure means a mark-down reverses automatically when financials recover — no borrower action needed, no quarterly gate. Most other MTC lenders require a borrower request to re-mark upward. That quarterly gate is effectively a one-way ratchet in a volatile credit environment: marks go down immediately on breach, but recovering them requires active borrower management every 90 days.
Then there’s the reset question. BNP’s auto-reset on cure means a mark-down reverses automatically when financials recover — no borrower action needed, no quarterly gate. Most other MTC lenders require a borrower request to re-mark upward. That quarterly gate is effectively a one-way ratchet in a volatile credit environment: marks go down immediately on breach, but recovering them requires active borrower management every 90 days.
A Firm Bid Without Synthetic Backstop Is Kabuki Theater
Some lenders require a firm bid to validate a mark dispute. Barclays and Goldman go one layer further
Demanding a firm bid sounds rigorous: find a real buyer willing to pay the disputed price for real size. But even that is ultimately theater if the lender can’t act on it. The vehicle has no trading authority. The lender can’t warehouse the position. If a manager procures a bid from a counterparty with no genuine intention to transact, the lender has no recourse.
The synthetic clause resolves this. Where it exists — Barclays and Goldman only in this dataset — the lender has the contractual option to go synthetically long on a disputed position via CDS, TRS, or equivalent risk transfer through maturity. The question is no longer “can you find a bid?” but “can you find a counterparty willing to take the other side of a synthetic long at this level?” That is a genuinely harder bar — and if no one will, the disputed mark speaks for itself.
The synthetic clause resolves this. Where it exists — Barclays and Goldman only in this dataset — the lender has the contractual option to go synthetically long on a disputed position via CDS, TRS, or equivalent risk transfer through maturity. The question is no longer “can you find a bid?” but “can you find a counterparty willing to take the other side of a synthetic long at this level?” That is a genuinely harder bar — and if no one will, the disputed mark speaks for itself.
Terms Comparison
Key Terms Across Lenders
Sort by:
| Key Term | Goldman | JPMorgan | Wells Fargo | Deutsche Bank | Citi | Morgan Stanley | BofA | PNC | BNP | SocGen | Natixis | SMBC | BXCI | Citizens | CIBC | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| US PC back-lev. exposure | $105B+ | $50.0B | $36.2B | $30.0B+ | $25.0B+ | $22.0B | $20.1B | $20.0B | $7.0B | ~$1.2B+ | ~$1.3B+ | ~$0.3B+ | ~$1.7B+ | ~$0.8B+ | $4.1B | ~$0.55B+ |
| Lender Marking Rights | IV | I | III | IV | IV | III | III-bifur. | III | II (hybrid) | II | III | III | III | V | III | III |
| Asset approval | Per-asset | Pre-approved list | Eligibility | Eligibility | Per-asset | Eligibility | Eligibility | Eligibility | Eligibility | Eligibility | Eligibility | Eligibility | Eligibility | Bespoke | Eligibility | Eligibility |
| Initial valuation | ~Orig. AV | Markit/LoanX or cost | ~Orig. AV | ~Orig. AV | Borrower mark | ~Orig. AV | BSL: Markit bid; PC: par-OID | ~Orig. AV | Par less OID | Par less OID | ~Orig. AV | ~Orig. AV | ~Orig. AV | Borrower marks | ~Orig. AV | ~Orig. AV |
| Ongoing valuation | ~Revaluation Event MTC | Daily MTM (CA) | ~Revaluation Event MTC | ~Revaluation Event MTC | Agent discretion post-VAE | ~Revaluation Event MTC | BSL: daily MTM; PC: quarterly model | ~Revaluation Event MTC | Sub-line hybrid | MTC auto-reset on cure | ~Revaluation Event MTC | ~Revaluation Event MTC | ~Revaluation Event MTC | Borrower marks; BXCI Reval. Events | ~Revaluation Event MTC | ~Revaluation Event MTC |
| MTC / MTM triggers | ~NSL+ICR dbl | Price decline alone | ~NSL+ICR dbl | ~NSL+ICR dbl | ~NSL+ICR dbl | NSL+ICR dbl | BSL: price; PC: NSL+ICR | ~NSL+ICR dbl | BB + capital coverage | Revaluation Event auto | ~NSL+ICR dbl | ~NSL+ICR dbl | ~NSL+ICR dbl | Bespoke per-loan | ~NSL+ICR dbl | ~NSL+ICR dbl |
| Synthetic bid | Yes | No | No | No | Yes | No | No | No | No | No | No | No | No | ND | No | No |
| Cash bid minimum | ND | N/A | ND | ND | ND | ND | ND | ND | ND | ≥$5M | ND | ND | ND | ND | ND | ND |
| Failed dispute lockout | 90 days | 1 quarter | ~90 days | ~90 days | ~90 days | ~90 days | 6 months | ~90 days | ND | ~90 days | ~90 days | ~90 days | ~90 days | ND | ~90 days | ~90 days |
| Max advance rate (1L PC) | ~65% | 57–60% | 67.5–71.25% | ND | ~60–65% | 65–72.5% | ~60–70% | ~65–72.5% | ND | ~65% | ~60–62.5% | ~62.5% | ND | 67.5% | ND | ND |
| Cure period | 3+5 days | 3 days | 5 days | ~5 days | 3 days | 5 days | 5+30 days | ~5 days | ND | 5 days | ~5 days | ~5 days | ~5 days | ND | ~5 days | ~5 days |
| Borrower friendliness | ★★☆☆☆ | ★☆☆☆☆ | ★★★☆☆ | ★★★☆☆ | ★★☆☆☆ | ★★★☆☆ | ★★★★☆ | ★★★☆☆ | N/A | ★★★★★ | ★★★☆☆ | ★★★☆☆ | ★★★☆☆ | ★★★★☆ | ★★★☆☆ | ★★★☆☆ |
Sourced from unredacted EDGAR exhibits. Size figures from Q1 2026 earnings calls and annual reports. Barings/MM omitted — bespoke bilateral docs not publicly filed. ★ = borrower-friendliness rating (scored on valuation trigger, re-mark mechanic, dispute rights, asset approval model, cure period). † Goldman proxy includes prime brokerage; figure is overstated for pure fund finance.
Full Source List
Analyzed Agreements
44 primary sources — unredacted EDGAR exhibits, earnings disclosures, and investor presentations. Each underlies at least one data point in this dataset.
| Ref | Agreement / Document | Manager / BDC | Year | Source |
|---|---|---|---|---|
| JPM-1 | Locust Street Funding A&R LSA | FSK / FS KKR | 2019 | sec.gov ↗ |
| JPM-2 | Carlyle Credit Solutions SPV 4th A&R | Carlyle / CGBD | 2024 | sec.gov ↗ |
| JPM-3 | OSCF Lending SPV LLC | Oaktree Strategic Credit | 2023 | sec.gov ↗ |
| JPM-4 | GS PMMC II SPV — 2nd A&R (NAV structure) | Goldman Sachs PMMC II | 2024 | sec.gov ↗ |
| JPM-5 | BCPC II-J LLC | Bain Capital Private Credit | 2024 | sec.gov ↗ |
| GS-1 | ORCC II Financing LLC 2nd A&R Credit Agreement | Blue Owl / OBDC | 2019 | sec.gov ↗ |
| GS-4 | BCPC I, LLC — Credit Agreement (Goldman Sachs, Nov 2023) | Bain Capital Private Credit | 2023 | sec.gov ↗ |
| GS-2 | Grouse Funding LLC Credit Agreement | Apollo Debt Solutions BDC | 2022 | sec.gov ↗ |
| GS-3 | Society Hill Funding LLC — Master Repurchase Agreement (repo, pre-LSA) | FS Investment Corp III | 2015 | sec.gov ↗ |
| WF-1 | ARCC CP Funding LLC A&R LSA — Amendment 13 | Ares Capital (ARCC) | 2020 | sec.gov ↗ |
| WF-2 | HLEND Holdings E, L.P. Credit Agreement | HPS Corporate Lending | 2024 | sec.gov ↗ |
| WF-3 | PIF Financing SPV LLC Credit Agreement | North Haven / Morgan Stanley AM | 2022 | sec.gov ↗ |
| DB-1 | OCSI Senior Funding II A&R LSA | Oaktree / OCSI | 2020 | sec.gov ↗ |
| DB-2 | GBDC 3 Funding LLC Credit Agreement | Golub Capital BDC 3 | 2022 | sec.gov ↗ |
| DB-3 | OSCF Lending IV SPV | Oaktree Strategic Credit | 2023 | sec.gov ↗ |
| BAR-1 | FSSL Finance BB AssetCo Margining Agreement | FS KKR / FS Energy & Power | 2023 | sec.gov ↗ |
| BAR-2 | T Series Financing SPV Credit Facility | T Series / Morgan Stanley IF | 2023 | sec.gov ↗ |
| BAR-3 | T Series Financing SPV A&R 2025 | T Series / Morgan Stanley IF | 2025 | sec.gov ↗ |
| C-1 | OSI 2 Senior Lending / OCSL LSA | Oaktree / OCSL | 2019 | sec.gov ↗ |
| C-2 | OCSL Senior Funding II 6th Amendment | Oaktree / OCSL | 2021 | sec.gov ↗ |
| C-3 | Cardinal Funding LLC Credit Agreement | Apollo Debt Solutions BDC | 2022 | sec.gov ↗ |
| MS-1 | HLEND Holdings A, LLC LSA | HPS Corporate Lending | 2022 | sec.gov ↗ |
| MS-2 | BCRED Maroon Peak Funding | Blackstone Private Credit (BCRED) | 2021 | sec.gov ↗ |
| MS-4 | Twin Brook Capital Funding XXXIII MSPV — LSA (2022, Angelo Gordon/Twin Brook) | Twin Brook / AGTB | 2022 | sec.gov ↗ |
| MS-3 | OSCF Lending II SPV | Oaktree Strategic Credit | 2022 | sec.gov ↗ |
| BA-1 | HLEND Holdings B, L.P. Credit Agreement | HPS Corporate Lending | 2022 | sec.gov ↗ |
| BA-2 | Barings BDC Funding Credit Agreement (LIBOR-era) | Barings / BBDC | 2018 | sec.gov ↗ |
| PNC-1 | GDLC Funding LLC / Revolving Credit & Security Agreement | Golub Capital DLC | 2022 | sec.gov ↗ |
| CIT-1 | PIF Financing II SPV LLC Credit Agreement | North Haven Private Income Fund | 2023 | sec.gov ↗ |
| BNP-1 | ARCC FB Funding LLC / Credit Agreement | Ares Capital (ARCC) | 2020 | sec.gov ↗ |
| BNP-2 | ARCC FB Funding 9th Amendment | Ares Capital (ARCC) | 2025 | sec.gov ↗ |
| BNP-3 | DLF Financing SPV / Credit Agreement | MS Direct Lending Fund | 2020 | sec.gov ↗ |
| BNP-4 | HLEND Holdings D Credit Agreement | HPS Corporate Lending | 2023 | sec.gov ↗ |
| SG-1 | ORCC III Financing LLC LSA — Amendment 7 | Blue Owl (OBDC) | 2025 | sec.gov ↗ |
| NAT-1 | ORCC Financing II LLC Credit Agreement — Amendment 9 | Blue Owl (OBDC) | 2024 | sec.gov ↗ |
| SMBC-1 | CCT Tokyo Funding LLC LSA — 7th Amendment | FS KKR / CCT | 2021 | sec.gov ↗ |
| SMBC-2 | CCT Tokyo Funding LLC LSA — Original | FS KKR / CCT | 2015 | sec.gov ↗ |
| SMBC-3 | OSCF Lending III SPV | Oaktree Strategic Credit | 2023 | sec.gov ↗ |
| SMBC-4 | ARCC JB Funding LLC | Ares Capital (ARCC) | 2023 | sec.gov ↗ |
| ALLY-1 | Ambler Funding LLC Credit Agreement | FS KKR Capital Corp | 2023 | sec.gov ↗ |
| CIBC-1 | Callowhill Funding LLC Credit Agreement | FS KKR Capital Corp | 2021 | sec.gov ↗ |
| BX-1 | HLEND Holdings C Credit Agreement (insurance capital) | HPS Corporate Lending / BXCI | 2022 | sec.gov ↗ |
| SIZE-1 | Banks Tally $185B+ of Back-Leverage to Private Credit — Bloomberg Apr 2026 | Various (Q1 2026 earnings) | 2026 | bloomberg.com ↗ |
| SIZE-2 | Deutsche Bank Annual Report 2025 — €25.9B fund finance disclosed | Deutsche Bank | 2025 | www.db.com ↗ |
| SIZE-3 | Barclays Investor Day 2025 — ~£20bn UK+US back-leverage | Barclays | 2025 | home.barclays ↗ |
| BAR-4 | MassMutual DPI & Asset Finance → Barings transition | Barings / MassMutual | 2015 | barings.com ↗ |
JPMorgan
ValuationCA sole discretion (Markit/LoanX for BSLs)
Asset approvalPre-approved list
Dispute mechanic3rd-party val shortlist · no synth bid
PC exposure$50.0Bconfirmed ↗
Lender marking rightsIDaily MTM — price decline alone
Borrower friendliness★☆☆☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Valuation Method
Daily MTM
Calculation Agent marks in its sole discretion, referencing Markit/LoanX/TRACE for traded assets — but for originated private credit loans with no secondary market quote, JPM as CA applies its own determination. Price decline alone triggers; no credit event required
Asset Approval
Pre-approved List
JPM reviews portfolio composition periodically — closer to eligibility gate than per-asset consent
Initial Valuation
Last Markit / LoanX Bid
At inclusion date. Falls back to cost basis for originated private credit without secondary quotes
Cure Period
3 Business Days
Strictest in dataset. No extension mechanic. Cure via prepayment or new eligible asset contribution only
Dispute Mechanic
3rd-party Val Agents
Lincoln International · FTI Consulting · Alvarez & Marsal · VRC · Kroll · Within 5% of Agent: no adj. Outside 5%: averaged · No synthetic bid · Failed dispute: 1-qtr lockout
Advance Rates (1L PC)
57% – 60%
60% (FSK / Locust Street) · 57% (Carlyle) · Scale differential: 300bps within same lender template
⚠ Notable Exception — GSAM / PMMC II
JPMorgan abandoned its own daily-MTM model entirely for Goldman Sachs.
The GS PMMC II SPV facility (2nd A&R Nov 2024, $1.25B, SOFR+2.05%) is:
- Non-recourse to Goldman Sachs PMMC II LLC — confirmed in 8-K
- Zero daily price marks — no per-asset MTM whatsoever
- Single portfolio NAV ratio (60%) as the sole trigger — no obligor-level metrics
- Trigger at 67.5% NAV → JPM consent on asset sales; Cure at 60% → JPM directs sales
This is Approach I(NAV) — and for GSAM, JPMorgan goes from the least borrower-friendly agent in this dataset to the most: Goldman marks its own portfolio, JPM only intervenes at the portfolio level. Scale doesn't just buy pricing — it buys the entire structure.
⚠ Scope note — non-recourse SPV facilities only. JPMorgan also agents recourse revolving credit facilities for BDCs where the borrower marks its own portfolio quarterly. Apollo Debt Solutions BDC's JPM-agented revolver (Section 5.12) is an example — not in scope for this dataset.
Goldman Sachs
ValuationBorrower mark at entry; agent re-marks post-breach
Asset approvalPer-asset consent
Dispute mechanicFirm bid — cash OR synthetic (CDS/TRS)
PC exposure$105B+confirmed ↗
Lender marking rightsIVMTC + ongoing lender discretion + synthetic bid
Borrower friendliness★★☆☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Goldman Sachs Bank USA acts as Calculation Agent. Each asset must be approved as an Approved Asset prior to inclusion. Goldman maintains a live Approved Asset schedule; additions require Goldman's affirmative consent at each inclusion event. Per-asset consent required — same structure as Barclays.
Initial Valuation
Calculation Agent assigns "Initial Approved Value" at time of asset approval. For performing first-lien loans: typically par less OID. CA retains discretion to apply a haircut at entry for assets with identifiable credit concerns.
Ongoing Valuation & Triggers
Revaluation Events trigger revaluation — not daily MTM. VAE triggers calibrated per-asset in the Approved Asset schedule. Standard triggers: EBITDA deterioration, Total Leverage breach, Cash ICR below floor, payment default, insolvency. Upon VAE: CA assigns revised "Value Adjusted Assigned Value" with ongoing discretionary re-marking authority post-breach. Upward re-marking permitted quarterly upon borrower request, conditional on CA confirming cure. Asset returns to Initial Approved Value upon cure.
Dispute Rights
Dispute supported by: (a) valuation from Nationally Recognized firm; (b) firm cash bid; or (c)
firm bid "in synthetic form" permitting risk transfer through maturity. Goldman's language is structurally identical to Barclays'. Grouse Funding (Apollo, 2022) contains the same language. Failed dispute: 90-day lockout.Cure & Thresholds
Cure period: 3 business days, extendable by 5 additional days via cash collateral deposit to a designated account — unique to Goldman in this dataset. Advance rate: ~65% for first-lien private credit. Cure via prepayment, new Approved Asset contribution, or cash collateral deposit.
Wells Fargo
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure$36.2Bconfirmed ↗
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Eligibility-criteria-based inclusion — same as Citi standard form. Assets include if they satisfy the Eligible Loan definition. Wells retains override rights.
Initial Valuation
Assets enter at Original Assigned Value — generally par or purchase price. For ARCC, this is typically par since ARCC primarily originates rather than buys secondary.
Ongoing Valuation & Triggers
Same Revaluation Event mechanics as Citi — NSL+ICR double-trigger (absolute + relative) for non-BSL; price-decline trigger for BSL; payment default and insolvency as standalone triggers. Upward re-marking requires borrower request quarterly, subject to agent confirmation of cure.
Dispute Rights
Dispute via Approved IVF panel. No synthetic bid. Agent value governs during pendency. Failed: ~90-day lockout (inferred from template family).
Cure & Thresholds
Cure period: 5 business days. Advance rates by tier: First-Lien BSL: 72.5% · First-Lien Large MM: 70% · First-Lien Traditional MM: 67.5% · First-Lien Lower MM: 65% · Group A: 70% · Second-Lien BSL: 45% · Second-Lien MM: 40% · Portfolio weighted average cap: 71.25%. Non-traded MM obligors designated per Schedule VIII. Wells Fargo Bank, N.A. as Agent; Variable Funding Capital Company LLC (VFCC) as conduit purchaser — a Wells Fargo-sponsored ABCP conduit. ARCC borrows from the conduit rather than directly from Wells Fargo's balance sheet. Pension fund lenders (Sampension, Arkitekternes, TIAA FSB) joined as additional lenders by Amendment 13.
Deutsche Bank
ValuationBorrower mark at entry; agent re-marks post-breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure$30.0B+confirmed ↗
Lender marking rightsIVMTC + ongoing discretion (Discount Factor)
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Eligibility-criteria-based inclusion — confirmed across multiple DB-agented facilities. DB acts as Administrative Agent only; Deutsche Bank National Trust Company (DBNTC) typically serves as Collateral Agent / Administrator in a split-role structure (analogous to Barclays' split of BUSA vs collateral trustee).
Initial Valuation
~Original Assigned Value at entry — consistent with standard form family. For originated private credit loans: par less OID. LA (Liquidation Agent) or Calculation Agent marks at entry.
Ongoing Valuation & Triggers
Revaluation Events trigger revaluation — not daily MTM. Post-breach, DB as Calculation Agent retains ongoing discretionary re-marking authority with a Discount Factor mechanic that constrains CA discretion more than pure Barclays/Goldman Approach IV. Upward re-marking quarterly on borrower request. The Discount Factor creates a floor on how far down DB can mark without triggering specific covenant tests.
* Deutsche Bank's approach sits between Approach III (borrower-initiated) and Approach IV (full CA discretion). The Disc
Cure & Thresholds
Cure period: ~5 business days — consistent with standard form family. Standard cure mechanics via prepayment or new eligible asset contribution. SOFR + applicable margin; 2014-vintage DB facilities opened at SOFR+2.00% (lagging indicator of historical terms).
Barclays
ValuationBorrower's mark at entry; agent re-marks post-breach
Asset approvalPer-asset consent
Dispute mechanicFirm bid — cash OR synthetic (CDS/TRS)
PC exposure$25.0B+confirmed ↗
Lender marking rightsIVMTC + ongoing discretion + synthetic bid
Borrower friendliness★★☆☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Each asset requires affirmative per-asset consent from the Liquidation Agent prior to inclusion. Borrower submits an Asset Approval Request; LA may approve, reject, or condition. No deemed-approval mechanic. Barclays maintains a live Approved Asset list — additions require a formal request each time.
Initial Valuation
Initial value assigned by Liquidation Agent at time of Asset Approval. For performing senior secured loans without observable market prices: purchase price. For assets with observable secondary market prices: LA's bid-side mark may be used. LA retains discretion at entry.
Ongoing Valuation & Triggers
Revaluation Events (VAEs) trigger revaluation — not daily MTM. Triggers: (a) Total Net Leverage exceeding threshold; (b) ICR below floor; (c) Asset Coverage Ratio breach; (d) payment default after grace period; (e) insolvency. Upon VAE, the Liquidation Agent assigns a revised "Value Adjusted Assigned Value" and retains ongoing discretionary re-marking authority post-breach. Upward re-marking permitted quarterly upon borrower request, conditional on LA confirming trigger cure.
Dispute Rights
Borrower may dispute by delivering a Dispute Notice supported by: (a) valuation from a Nationally Recognized firm; (b) a firm cash bid; or (c)
"a firm bid either in cash or in synthetic form in respect of a risk transfer through the maturity date of such Asset." Option (c) — the synthetic bid — permits risk transfer via CDS, TRS, or equivalent rather than forcing a cash sale. Absent from every other template in this dataset. Failed dispute: ~90-day lockout.Cure & Thresholds
Borrowing Base Deficiency cure period: 3 business days. Cure via prepayment or contribution of new Approved Assets. Must restore full compliance — not merely reduce the deficiency. Advance rate on private credit: ~60–65% of LA-assigned value (facility-specific). Cash sweep waterfall on mandatory prepayment: fees and interest first, then principal.
Citi
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure$22.0Bconfirmed ↗
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Eligibility-criteria-based inclusion. Assets include automatically if they satisfy the Eligible Loan definition. Citibank retains override rights but no per-asset consent required at each inclusion event.
Initial Valuation
Assets enter the Borrowing Base at their Original Assigned Value — generally par (for originated loans) or purchase price (for secondary acquisitions).
Ongoing Valuation & Triggers
Assigned Revaluation Events (Revaluation Events) trigger MTC revaluation. Triggers for non-BSL loans: (a) Net Senior Leverage both >4.25x and >0.50x above original (double trigger — absolute + relative); (b) Cash ICR both <1.50x and <85% of original; (c) payment default after 5-day grace; (d) non-accrual; (e) Material Modification; (f) insolvency; (g) rating downgrade to Caa1/CCC+ or below. For BSL: Revaluation Event if market price declines ≥5 points. Upon Revaluation Event: agent assigns Value Adjusted Assigned Value. Upward re-marking requires borrower request quarterly, subject to agent confirmation of cure.
The double-trigger on leverage (absolute + relative deterioration) prevents Revaluation Events from firing on a single bad quarter if
Cure & Thresholds
Cure period: 5 business days. Advance rates by tier: First-Lien BSL: 72.5% · First-Lien Large MM: 70% · First-Lien Traditional MM: 67.5% · First-Lien Lower MM: 65% · Group A: 70% · Second-Lien BSL: 45% · Second-Lien MM: 40% · Portfolio weighted average cap: 71.25%. Zero AR if Total Debt/EBITDA >7.00x.
Morgan Stanley
ValuationBSL: Markit bid; PC: quarterly model
Asset approvalEligibility (+ exclusion right)
Dispute mechanic3rd-party val firm · 6-mo lockout · no synth bid
PC exposure$20.1Bconfirmed ↗
Lender marking rightsIIIMTC — bifurcated liquid/private
Borrower friendliness★★★★☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Hybrid eligibility model: Eligible Loan criteria define the inclusion box (similar to BNP Template B), but Morgan Stanley retains the right to designate specific assets as "Excluded Assets" with written notice. Criteria + exclusion right — more control than pure eligibility, less friction than per-asset consent.
Initial Valuation
Bifurcated: Liquid Credit (BSL, syndicated, CLO tranches) enters at Markit/LoanX bid. Private Credit (direct lending, unitranche, PIK) enters at par less OID.
Ongoing Valuation & Triggers
Bifurcated ongoing valuation by asset class. Liquid Credit: daily Markit/LoanX bid-side MTM. Private Credit: quarterly model-based valuation confirmed by MS Senior Funding. Revaluation Events trigger off-cycle revaluation of private credit on credit events — not price movements. Upward re-marking requires borrower request quarterly, subject to agent confirmation.
The bifurcated approach is the most structurally sophisticated in the dataset — each asset class receives the valuation
Cure & Thresholds
Advance rates: ~70% Liquid Credit, ~60–65% Private Credit. Cure period: 5 business days + up to 30 additional days via cash reserve account contribution — widest cure window in the dataset. HPS negotiated a 90-day VAE assessment grace period for newly contributed assets.
BofA
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure$20.0Bconfirmed ↗
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
~Eligibility-criteria-based inclusion — consistent with standard form family. Exact eligibility box not confirmed from full text (EDGAR retrieval blocked).
Initial Valuation
~Original Assigned Value at entry — consistent with standard form family (Citi/Wells pattern).
Ongoing Valuation & Triggers
standard form Revaluation Event structure confirmed: "Assigned Value," "Assigned Revaluation Event," "Value Adjusted Assigned Value" present in credit agreement. Revaluation Event trigger set follows same NSL+ICR double-trigger as Citi/OCSL and Wells/ARCC CP. Upward re-marking requires borrower request quarterly.
Cure & Thresholds
~5-day cure period — consistent with standard form family. Advance rates: ~65–72.5% (tiered, consistent with Citi/Wells). SOFR + applicable margin (1.75% per BofA market standard at signing). BofA Securities as Sole Lead Arranger; U.S. Bank Trust as Collateral Administrator.
PNC
ValuationSub-line hybrid borrowing base
Asset approvalEligibility criteria
Dispute mechanicND
PC exposure$7.0Bconfirmed ↗
Lender marking rightsIIHybrid sub-line borrowing base
Borrower friendlinessN/A
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Eligibility-criteria-based inclusion. Borrowings secured by portfolio assets AND unfunded investor capital commitments — the hybrid element that distinguishes PNC's small-BDC product from pure asset-backed facilities.
Initial Valuation
Par less OID — consistent with Credit Agreement family. For the capital commitment component, advance rates apply against uncalled investor commitments.
Ongoing Valuation & Triggers
Sub-line / capital commitment hybrid structure. Margining mechanics are less detailed than standard form equivalents — reflects the early-stage BDC context (GDLC was pre-ramp at execution, $34M facility).
Dispute Rights
Sub-line structure — standard dispute mechanics apply to the asset-backed component. No synthetic bid.
Cure & Thresholds
Interest: SOFR + margin 1.75%–2.15% (range depends on uncalled capital coverage). Unused commitment fee: 0.20%–0.30% p.a. Maturity: March 21, 2025 at original execution. Aggregate commitment: $34,000,000.
Citizens Bank
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure$4.1Bconfirmed ↗
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Eligibility-criteria-based inclusion. Assets include automatically if they satisfy the Eligible Loan definition. Citibank retains override rights but no per-asset consent required at each inclusion event.
Initial Valuation
Assets enter the Borrowing Base at their Original Assigned Value — generally par (for originated loans) or purchase price (for secondary acquisitions).
Ongoing Valuation & Triggers
Assigned Revaluation Events (Revaluation Events) trigger MTC revaluation. Triggers for non-BSL loans: (a) Net Senior Leverage both >4.25x and >0.50x above original (double trigger — absolute + relative); (b) Cash ICR both <1.50x and <85% of original; (c) payment default after 5-day grace; (d) non-accrual; (e) Material Modification; (f) insolvency; (g) rating downgrade to Caa1/CCC+ or below. For BSL: Revaluation Event if market price declines ≥5 points. Upon Revaluation Event: agent assigns Value Adjusted Assigned Value. Upward re-marking requires borrower request quarterly, subject to agent confirmation of cure.
The double-trigger on leverage (absolute + relative deterioration) prevents Revaluation Events from firing on a single bad quarter if
Cure & Thresholds
Cure period: 5 business days. Advance rates by tier: First-Lien BSL: 72.5% · First-Lien Large MM: 70% · First-Lien Traditional MM: 67.5% · First-Lien Lower MM: 65% · Group A: 70% · Second-Lien BSL: 45% · Second-Lien MM: 40% · Portfolio weighted average cap: 71.25%. Zero AR if Total Debt/EBITDA >7.00x.
BNP Paribas
ValuationAssigned Value; Revaluation Event auto-reset on cure
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · firm cash bid (≥$5M) · no synth bid
PC exposure~$1.2B+
Lender marking rightsIIMTC — auto-reset on cure
Borrower friendliness★★★★★
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
No per-asset approval required. Assets included automatically if they satisfy Eligible Loan criteria: minimum issuer quality, industry concentration limits, obligor size, tenor, currency. BNP sets the eligibility box at closing — any conforming asset can be included without further agent consent.
Most operationally efficient approval model in the dataset — no per-asset friction. BNP cedes real-time collateral compo
Ongoing Valuation & Triggers
Revaluation Events trigger MTC. Triggers: (a) Total Debt/EBITDA exceeding threshold; (b) Senior Net Leverage breach; (c) Cash ICR below floor; (d) payment default; (e) bankruptcy; (f) Material Adverse Change. Upon RE: Admin Agent assigns "Revised Loan Value." Upward re-marking is event-driven — when cure financials arrive demonstrating the trigger has been remedied, the asset automatically resets to par-OID. No borrower request required. No quarterly calendar gate.
Dispute Rights
Dispute via: (a) Nationally Recognized IVF valuation, or (b) firm cash bid for not less than $5,000,000 face amount. No synthetic bid. Admin Agent value governs during pendency. Failed: AA value stands; 90-day re-challenge lockout.
The $5M minimum bid floor is a practical constraint for small-notional positions — sub-$5M exposures must rely entirely
SocGen
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure~$1.3B+
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
~Eligibility-criteria-based inclusion — consistent with standard form family (inferred; full text not independently confirmed).
Initial Valuation
~Original Assigned Value at entry — consistent with standard form family (inferred).
Ongoing Valuation & Triggers
~Revaluation Event mechanics consistent with standard form family: NSL+ICR double-trigger for non-BSL; price-decline trigger for BSL. Upward re-marking requires borrower request quarterly.
Dispute Rights
~Approved IVF panel dispute mechanics. No synthetic bid. ~90-day lockout (inferred).
Cure & Thresholds
Cure: ~5 days. Advance rate cap raised 60% → 62.5% per Amendment 7. Applicable margin compressed 2.70% → 1.90% (all currencies). Revolving Period extended to March 2028; Facility Termination extended to March 2030. Custodian replaced: Alter Domus → State Street.
Natixis
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure~$0.3B+
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
~Eligibility-criteria-based inclusion — consistent with standard form family and Blue Owl's consistent use across facilities (inferred; full text not retrieved).
Initial Valuation
~Original Assigned Value at entry — consistent with standard form family (inferred).
Ongoing Valuation & Triggers
~Revaluation Event mechanics consistent with standard form family. Upward re-marking requires borrower request quarterly.
Cure & Thresholds
Cure: ~5 days. Nine amendments 2018–2024 confirm ongoing capacity increases and term improvements over the relationship. Natixis, New York Branch as Administrative Agent; State Street as Collateral Agent, Administrator, and Custodian.
SMBC
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure~$1.7B+
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Eligibility-criteria-based inclusion — confirmed standard form LSA structure. SMBC acts as both Administrative Agent and Collateral Agent (dual role — unusual; most standard form deals separate these functions).
Initial Valuation
~Original Assigned Value at entry — consistent with standard form LSA family.
Ongoing Valuation & Triggers
~Revaluation Event mechanics confirmed as standard form from filed LSA. Upward re-marking requires borrower request quarterly.
Dispute Rights
~Approved IVF panel dispute mechanics. No synthetic bid. ~90-day lockout (inferred).
Cure & Thresholds
Cure: ~5 days. 7th Amendment extended reinvestment period to July 2022 and maturity to January 2025, with option to extend further.
Ally Bank
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure~$0.4B+
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Eligibility-criteria-based inclusion. Ally as administrative agent; standard standard form eligibility box for senior secured loans meeting leverage and ICR thresholds.
Ongoing Valuation & Triggers
Revaluation Event double-trigger mechanics confirmed. Upward re-marking requires borrower request quarterly. No synthetic bid.
CIBC
ValuationAssigned Value; Revaluation Event on breach
Asset approvalEligibility criteria
Dispute mechanic3rd-party val firm · no synth bid
PC exposure~$0.55B+
Lender marking rightsIIIMTC — borrower-initiated quarterly reset
Borrower friendliness★★★☆☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Eligibility-criteria-based inclusion. CIBC as administrative agent on two confirmed FS KKR / Oaktree facilities (one terminated July 2025).
Ongoing Valuation & Triggers
~Revaluation Event double-trigger mechanics consistent with standard form family. Upward re-marking requires borrower request quarterly. No synthetic bid. Standard 3rd-party val firm panel.
BXCI (Blackstone Credit & Insurance)
ValuationBorrower marks ongoing (HPS)
Asset approvalBespoke per-loan
Dispute mechanicBespoke · no synth bid
PC exposure~$0.8B+
Lender marking rightsVInsurance capital — borrower marks ongoing
Borrower friendliness★★★★☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Asset Approval
Bespoke per-loan approval at entry with individually negotiated Revaluation Event triggers. HPS (borrower) marks its own portfolio on an ongoing basis. BXCI intervenes only on discrete Revaluation Events.
Ongoing Valuation & Triggers
Borrower marks ongoing — structurally superior to all bank agents in this dataset for private credit. BXCI as insurance-capital lender is not bound by Basel capital constraints. Revaluation Events are bespoke per-loan triggers set at entry. Advance rate: 67.5% senior / 35% 2L. SOFR+2.95%.
Barings / MassMutual
ValuationBorrower marks ongoing
Asset approvalBespoke bilateral
Dispute mechanicBespoke · not publicly filed
PC exposure~$15B+est.
Lender marking rightsVInsurance capital — bespoke bilateral
Borrower friendliness★★★★☆
Scored on 5 dimensions: valuation trigger type · re-mark reset mechanic · dispute rights · asset approval model · cure period. 1★=least, 5★=most borrower-friendly.
Overview
Barings / MassMutual provides insurance-capital-funded back-leverage on a bespoke bilateral basis. Facility documents are not publicly filed (private insurance capital, not a '40 Act BDC conduit). Structurally similar to BXCI: borrower-driven marks, no Basel constraints, insurance float funding.