CLOs
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Job swaps weekly: Aperture names global head of ABF
People moves and key promotions in securitisation
This week’s roundup of securitisation job swaps sees Generali Investments subsidiary Aperture appointing a new global head of asset-based finance. Elsewhere, Encina Private Credit has hired a chief commercial officer and head of originations, while Citi is bringing in a co-head of debt capital markets in Hong Kong later this year.
Nicholas Turgeon has joined alternative asset manager .......
Market Moves 8 August 2025
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Reset vs non-reset: Equity IRR gap highlights performance divide
Reset equity tranches have materially outperformed non-reset...
This study examines a sample of 570 US CLO equity tranches from the 2017–2022 vintages. Trading colour, such as cover levels or best bids, is used where available. In the absence of such data, the lowest price talk is taken as a proxy.
Based on SCI BWIC data, minimum price talks have proven to be a reliable indicator .......
Talking Point 7 August 2025
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Palmer Square launches debut European CLO ETF
PCL0 marks the first of a trio of CLO ETFs for European institutional investors
Palmer Square has launched its first European UCITS CLO ETF, tracking its popular index on senior CLO debt in the region. PCL0 is the first passive Euro-denominated CLO ETF and is benchmarked against Palmer Square’s proprietary EUR CLO Senior Debt Index (ECLOSE). It will start trading today on the German-based Xetra platform.
News Analysis 7 August 2025
SCI in focus: German megadeal skews first-half ABS volumes
SCI and AFME data reveals stability beneath headline surge i...
The European securitisation market saw a strong first half to 2025, as publicly placed issuance volumes surged to €167.57bn, according to SCI primary issuance data - a 23% increase on 2H24. However, this headline figure is skewed by a single retained megadeal, masking an otherwise broadly consistent picture.
CLO double-Bs trade heavily as CIFC equity deal stands out
Poh-Heng Tan from CLO Research Group highlights BWIC activit...
Last week saw active double-B tranche trading, with approximately 68 CLO double-B bonds totalling around US$220 million in notional listed on BWIC, of which 79% traded.
Among US CLO deals with low MVOC metrics (101h to 102h) that have exited their reinvestment periods, cover DMs ranged from 740 to 790. Of the five deals in this cohort, only .......
News Analysis 29 July 2025
EU CLO equity delivers higher IRRs than US counterparts
Analysis of BWIC trading and liquidated 2.0 deals highlights...
EU CLO equity has outperformed US CLO equity, based on BWIC colour from a sample of approximately 446 equity tranches traded since July 2024 (source: SCI). This trend is also consistent with findings from 2.0 CLO deals that have been fully liquidated to date, according to CLO Research.
As shown in the table below, assuming a primary issue price of 95, .......
News Analysis 22 July 2025
CLO issuance surges past midyear milestones as market eyes record 2025
US and European volumes race ahead of forecasts, with analys...
The CLO market is moving at a vigorous pace, with many market analysts revising their projections upwards for the rest of the year. As of end of June, the number of CLO deals stands at 670, beating out the record-breaking rate recorded last year (553 as of June 2024).
According to SCI data the combined issuance from .......
News Analysis 17 July 2025
BWIC shows MVOC, WAL driving spread dispersion in active double-B CLO trading
With last week's activity showing active BWIC trading in bot...
US CLOs: Weak MVOC, cover prices below par; WAL ~6.25–6.5 years
Deal/Tranche ID
News Analysis 14 July 2025
Reckoner unveils first leveraged triple-A tranche CLO ETF
The actively managed vehicle deploys financial leverage to d...
Reckoner Capital Management has launched the Reckoner leveraged AAA CLO ETF (RAAA), its first US-listed fund providing leveraged exposure to triple-A rated CLO debt tranches through an ETF wrapper.
RAAA is among the first structured credit ETFs to offer leveraged exposure to senior CLO tranches, traditionally the domain of institutional investors, the firm says.
News 14 July 2025
Job swaps weekly: Akin appoints ABF-focused partner
People moves and key promotions in securitisation
This week’s roundup of securitisation job swaps sees Akin Gump Strauss Hauer & Feld hiring a new partner to ramp up its ABF offering. Elsewhere, an industry veteran has left their role at Cadwalader Wickersham & Taft to take up a new challenge at Winston & Strawn, while Trustmoore has appointed a new ceo.
Akin Gump Strauss Hauer .......
Market Moves 11 July 2025
Dechert guides first reinvesting private credit CLO as investor interest accelerates
Innovative reinvestment structure and non-traditional featur...
Law firm Dechert has advised Ares Management on its first European private credit CLO, a deal that builds on the groundwork laid by the landmark Barings transaction late last year and demonstrates growing investor and manager interest in private credit securitisation across Europe.
Ares European Direct Lending CLO 1 which launched last month marks a notable evolution from the .......
News Analysis 10 July 2025
Deer Park CLO equity outshines peers with stellar returns and high transparency
Poh-Heng Tan from CLO Research provides insights on EU CLO e...
Last week saw several EU CLO equity tranches trade with released cover bids, which are generally viewed as good market practice. Covers are often withheld when investors want to keep the colour, when they are too low, or when traded levels differ significantly.
News Analysis 7 July 2025
Job swaps weekly: Sound Point names Gerlitz's successor as global cfo
People moves and key promotions in securitisation
This week’s roundup of securitisation job swaps sees Sound Point Capital Management naming a new global chief financial officer. Elsewhere, EBRD’s first vp and head of client services group has retired, while the completion of BNP Paribas Cardif’s acquisition of AXA Investment Managers has been followed by the consolidated platform announcing its new leadership team.
Sound Point Capital .......
Market Moves 4 July 2025
EU reforms: CLO market sees progress, but key concerns remain
Law firms assess latest European Commission proposals and implications for CLOs
The European Commission’s proposed amendments to the EU Securitisation Regulation signal meaningful progress for the European structured finance market but challenges remain, particularly for the CLO sector, according to leading legal specialists.
David Quirolo, partner at Cadwalader Wickersham & Taft, says that while many of the reforms are welcome, some key areas risk undermining the Commission’s .......
News Analysis 3 July 2025
Market volatility, tightening spreads drive renewed demand for CLO mezzanine notes
Mezzanine paper sees spike in demand as yield-seeking invest...
CLO managers and investors report that broader market volatility, a tightening spread environment, and growing liquidity in junior tranches may be driving new demand for mezzanine notes.
Attendees at Global ABS in Barcelona last month appeared to be in consensus that CLO spreads were continuing to tighten while demand for mezzanine .......
News Analysis 2 July 2025
'Keep calm, but keep cautious'
Rob Ford, retired founding partner of TwentyFour Asset Manag...
Q: How would you characterise the current state of the European securitisation market?
Talking Point 2 July 2025
A: Last year was fantastic for performance: spreads generally recovered throughout 2024 from a relatively wider level, having been through 2022-2023, where markets weren’t in such great shape because of inflation- and interest rate-led concerns. We didn’t have a boom, but a gradual tightening of spreads, which .......
US CLO triple-A's trade above par amid strong BWIC demand
Poh-Heng Tan from CLO Research provides insights on benchmar...
Based on last week’s BWIC colour, many US BSL CLO triple-A bonds received cover bids above par. For deals still within their non-call periods, discount margins (DMs) are reported to the call date; for those beyond their non-call, DMs are shown to maturity.
As shown in the first table below, DMs ranged from 102 to 122 and WALs .......
News Analysis 30 June 2025
Billion dollar onchain CLO strategy launched bridging institutional credit and DeFi
Backed by the Sky Ecosystem, Grove tokenises Janus Henderson...
In an approach combining traditional finance (TradFi) and decentralised finance (DeFi), Grove, an institutional-grade credit infrastructure protocol designed to serve as the liquidity engine of DeFi, has allocated US$1bn to the Janus Henderson Anemoy triple-A CLO strategy (JAAA).
The move is said to mark the largest investment to date into a CLO investment strategy that has been .......
News 27 June 2025
Global ABS attendees tip CLOs to lead European structured finance growth
Fitch who surveyed over 100 attendees (including investors,...
Majority of market participants (45%) attending the Global ABS conference in Barcelona this year have forecast the CLO sector to drive the most growth in European structured finance following record supply last year, according to a survey conducted by Fitch Ratings.
This is followed by consumer ABS, RMBS (12%) and CMBS (8%).
Just over .......
News 25 June 2025
Vertical retention outperforms first loss by 1% in EU CLO equity IRR analysis
Poh-Heng Tan from CLO Research provides insights on vertical vs first loss risk retention
This study examines a sample of 83 EU CLO equity tranches that have traded via BWIC since July 2024. Based on their disclosed cover prices (as provided by SCI), IRRs are calculated for primary equity investors, assuming an issue price of 95.
The table below compares the IRR performance of deals with first loss and vertical risk retention. .......
News Analysis 23 June 2025
Multicurrency CLOs gain traction in Europe's private credit push
European managers explore cross-currency strategies to unloc...
European CLO managers have started exploring multicurrency portfolio structures, especially in private credit scenarios, to cope with the continent's limited asset pool and seek new avenues for diversification.
According to industry experts at rating agencies, the trend of looking to multicurrency portfolios represents a marked departure from traditional approaches, with managers looking beyond conventional BSL portfolios to overcome .......
News Analysis 20 June 2025