More speculative-grade U.S. loans are trading above par than atany time since May, exposing investors who are funneling recordamounts of cash into the debt to greater risks as rising pricesencourage borrowers to refinance at lower interest rates.

Spanish-language broadcaster Univision Communications Inc. andKKR & Co.-controlled First Data Corp. are among at least 30companies seeking to reduce rates on $31 billion of bank debt asmore than 80 percent of leveraged-loan prices exceed 100 cents onthe dollar, according to JPMorgan Chase & Co. That's up from 40percent at the beginning of October, according to a report from theNew York-based lender last week.

“Loans are trading well above their call prices because theinvestor community is reaching out for existing loans,” JonathanKitei, head of U.S. loan distribution at Barclays Plc in New York,said in a telephone interview. “You will see more loans gettingrepriced.”