CLOs

  • Bankruptcies compound stress for embattled US CLO market

    Bankruptcies compound stress for embattled US CLO market

    A gathering storm of bankruptcies among US retailers rolling in behind a swelling wave of loan defaults is bringing distress to the US CLO market, forcing both managers and investors to adjust their approach, writes Paola Aurisicchio.

  • US CLO triple-As touch tightest levels since March

    US CLO triple-As touch tightest levels since March

    Spreads on triple-A CLO paper hit their tightest levels since the pandemic began with a deal priced last Friday, as investors report renewed confidence in the highest rated portions of the CLO capital stack.

  • Gulf Stream, AIG price short duration CLOs

    Gulf Stream, AIG price short duration CLOs

    CLOs with shorter reinvestment periods continue to dominate the primary market in the US, as managers shift to actively managed deals rather than static transactions that reopened the market in April.

  • Nassau hires CLO portfolio manager

    Nassau hires CLO portfolio manager

    Nassau Private Credit, the CLO arm of Nassau Financial Group, announced that it has hired Vincent Chan as portfolio manager to focus on CLO investments.

  • Fair Oaks introduces delayed draw into euro CLO

    Fair Oaks introduces delayed draw into euro CLO

    Fair Oaks Capital is bringing its second euro CLO to market via JP Morgan, only the fifth deal issued since the Covid-19-induced lockdowns, bringing with it a delayed draw double-B tranche — an option to let the equity boost deal leverage once market conditions improve.

  • Over 20% of CLOs failing key test, analysts say

    Over 20% of CLOs failing key test, analysts say

    The percentage of triple-C rated loans held in CLOs has tripled to 12% in the past three months, leading 21% of outstanding deals to fail at least one overcollateralisation test, according to Bank of America.