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BWICs spike and spreads widen but market remains constructive
Resets and refis prominent in pipeline as loan market softens, offering respite from repricing wave
Dasha Sobornova joins from Akin Gump with experience across asset classes
Trade body for levfin investors turns to leading rating analyst
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Chenavari Investment Managers’ downsized European CLO 2.0 debut was the latest in a clutch of ABS transactions that have had a hard time placing riskier paper in recent weeks, as a broad sell-off across markets has hit the primary market for securitizations in Europe.
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Fair Oaks Income Fund, the first CLO fund to float on the London Stock Exchange since the financial crisis, has said developments in the European market have opened the door to it becoming an originator.
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Hedge fund giant Och-Ziff Capital Management Group priced the eighth CLO off its Och-Ziff Loan Management platform on Thursday, helping push new US CLO issuance this year to date to around $67.5bn, according to GlobalCapital data.
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Chenavari Investment Managers will look to price its debut European CLO 2.0 on Friday, defying weaker trading in a more illiquid summer market that has sent junior euro CLO tranches materially wider.
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Recent tweaks to Standard & Poor’s loan recovery rating methodology could give CLO managers an incentive to choose the ratings agency over market leader Moody’s, which seized market share after a backlash last year over S&P’s treatment of covenant-lite collateral, say market participants.
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Chenavari Investment Managers will look to price its debut European CLO 2.0 on Friday, defying weaker trading in a more illiquid summer market that has sent junior euro CLO tranches materially wider.