A strong technical picture propelled the S&P European Leveraged Loan Index (ELLI) to a 0.72% gain in the month through Dec. 27 (excluding currency) – the best performance in four months. For the year as a whole the Index returned 9.48%, the second-best showing on record, behind the 42.44% in 2009 (excluding currency).

In the US, loans returned 0.79% in December and 9.66% for all of 2012. You can read more about the US performance here.

This European loan analysis is part of a longer LCD News story available to subscribers. It includes

• European loan returns vs HY bonds, US loans, FTSE100
• Loan return by rating