Funding, credit, and operational support from Jefferies Group and MassMutual Moderate strategic importance to Jefferies Group Concentration in leveraged lending High debt leverage High credit risk of loans The stable outlook on Jefferies Finance LLC (JFIN) reflects S&P Global Ratings' expectation that debt to adjusted total equity leverage will be around 4.5x with adequate on-balance-sheet liquidity and stable funding for less liquid assets. We also expect that the firm's origination commitment levels will often be in excess of its own resources, but that it will be able to syndicate most of these prior to funding. We expect JFIN's risk exposure and profitability to continue to be driven by potentially volatile conditions in the leveraged loan market, including potential losses on
