The U.S. Federal Deposit Insurance Corp., Federal Reserve and Office of the Comptroller of the Currency on Monday said that credit risk associated with large, syndicated loans were still moderate in 2025, as borrowers continued to navigate higher interest expenses and other macroeconomic factors.
The 2025 Shared National Credit Program Report features 6,857 borrowers totaling $6.9T in commitments, up 6% from a year earlier. The review focused on SNC loans originated on or before June 30, 2025.
Meanwhile, the percentage of loans that deserve management’s close attention (aka, non-pass loans) fell to 8.6% of total commitments from 9.1% in 2024, the regulators said, driven by growth in new commitments rather than an underlying credit quality boost.
U.S. lenders hold 45% of all SNC commitments, though they hold only 22% of non-pass loans, Almost half of total SNC commitments are leveraged, and leveraged loans comprise 81% of non-pass loans.
Sitting at the top of the syndicated loan market include JPMorgan Chase (JPM), Citigroup (C), Goldman Sachs (GS) and Morgan Stanley (MS), usually in the form of arrangers and bookrunners.