Yesterday Goldman Sachs analyst Bridget Bartlett issued a warning to CLO investors to beware of the “LIBOR squeeze.” As the note points out, over 90% of the $900BN levered loan market has a LIBOR floor set at an average rate of 100bps. LIBOR floors in levered loans became popular in the aftermath of the “great recession” as a way to entice loan investors in a “lower-for-longer” interest rate environment that drove LIBOR rates down to 25bps.