CLOs

  • MVOC emerges as key driver of EU CLO single-B pricing

    Poh-Heng Tan from CLO Research provides insights into benchm...

    The technically strong loan market, with around half or more loans trading above par, has resulted in a relatively active month-to-date secondary market for EU CLO single-B tranches. A total of 27 single-B tranches have traded on BWIC with trading colour available.

    For deals with reinvestment periods ending between late 2028 and 2030, discount margins (DMs) based on .......

    News Analysis 22 June 2026

  • Issuer demand drives Reckoner Capital's push into risk retention financing

    Asset manager launches dedicated platform as securitisation...

    Reckoner Capital Management sees growing demand from securitisation issuers for financing partners that can offer both capital and broader investment relationships, following its launch of a dedicated risk retention financing business.

    The new entity, Reckoner Capital Company (RCC), will provide financing against risk retention positions held by issuers across CLO, ABS, RMBS and CMBS transactions. The firm estimates .......

    News 22 June 2026

  • Job swaps weekly: Former Blackstone exec sets up capital solutions firm, Schroders hires EU ABF and SRT investments head

    People moves and key promotions in structured credit

    This week’s roundup of structured credit job swaps sees former Blackstone executive setting up a new institutionally-backed alternative asset management firm, whilst Fasanara Capital appoints head of U.S. capital formation as it opens its first U.S. office. Meanwhile, Nippon Life Insurance Company and Blackstone partner to provide investment management services in the private credit and real estate sectors, Schroders Capital hires .......

    Market Moves 19 June 2026

  • M&G launches EU active ETF

    The active fund launches with €180mn in funding from external investors

    M&G Investments has launched a €200m actively managed ETF investing primarily in triple-A-rated European CLO paper.

    The fund, M&G AAA EUR Active UCITS ETF (MNGA), features €180m in investment from external investors, and is the firm’s first CLO-focused ETF after entering the broader European ETF space at the end of 2025.

    Announcing the launch, M&G cite the asset .......

    News 19 June 2026

  • SCI In Focus: CLO equity investors wrestle with captive fund dominance

    Investors turn to the secondary as captive funds push primary returns down further

    The CLO equity landscape has been fundamentally shifted by the ever-growing dominance of captive equity funds, and the effects of this change are becoming increasingly stark for investors.

    Captive equity funds have become the driving force behind the global CLO market with current consensus that both the US and European markets issuance is primarily made up of vertically integrated .......

    News Analysis 18 June 2026

  • Muzinich debuts in EU CLO ETF market

    Muzinich & Co. leverages decades of European credit...

    Global credit specialist Muzinich & Co. has launched its first European ETF, enhancing investor access to its established loan, CLO, and short-duration investment-grade capabilities.

    The 'Muzinich AAA CLO UCITS ETF' aims to provide investors with access to conservatively positioned, investment-grade income through exposure to senior, triple-A-rated CLO bonds, the firm says.

    The ETF allows investors to tap into diversified loan cash flows, while the .......

    News 17 June 2026

  • Manager tiering drives wider pricing gaps as MVOC levels decline

    Poh-Heng Tan from CLO Research provides insights into how MV...

    The table below presents benchmark BB tranche discount margins (DMs) for US CLOs with reinvestment periods ending in 2029-2031, across different MVOC bands and manager tiers. The benchmark levels are derived from average BWIC DM prints by MVOC band and manager tier, based on trading colour observed since mid-April.

    The data highlights that the market continues to assign .......

    News 15 June 2026

  • Global ABS update: Structured finance at a turning point

    Insights from Global ABS 2026 reveal growing convergence bet...

    Last week's structured finance discussions at the annual Global ABS conference in Barcelona, attended by SCI, highlighted an industry in transition, with innovation, regulation and new sources of capital reshaping the market’s future.

    Among the most prominent themes was the growing convergence of private credit and securitisation, as asset-backed finance structures, risk-transfer transactions and securitisation technology become increasingly .......

    News 15 June 2026

  • Key duo exits WhiteStar's CLO platform

    Whitestar mds Brian McNamara and Conor Power leave after four years heading CLO operations

    Two senior members of WhiteStar Asset Management’s CLO platform are departing the firm, SCI learns, after over four years helping to build the company’s European CLO business. 

     

    Brian McNamara and Conor Power served as managing directors at WhiteStar, the Dublin-based CLO arm of .......

    News 9 June 2026

  • Global ABS update: Positive issuance outlook

    European securitisation market expected to remain active as banks proliferate new products

    European securitisation issuance is expected to grow in the coming year, according to panellists at Global ABS, taking place in Barcelona from 9-11 June.

    Positive sentiment on the likelihood of growth was agreed upon, although panellists noted that Europe will not have a level playing field of competition.

    Growth was tied to thoughts that banks have seen .......

    News 9 June 2026

  • SCI In Focus: Rising LMEs elevate documentation risk for CLO managers

    Covenant-lite loans and adversarial LMEs redefine risk and recovery dynamics in CLO markets

    Liability management exercises (LMEs) have become increasingly common in leveraged finance, raising concerns for CLO investors and lenders.

    Market participants including Weil, Gotshal & Manges and Benefit Street Partners tell SCI that while covenant-lite lending and aggressive restructurings have increased documentation risk, stronger lender protections and court oversight continue to make European markets less vulnerable to US-style LMEs.

    News Analysis 5 June 2026

  • Fitch updates CLO rating method to reflect growth of non-bankruptcy default events

    Reduced downgrade risk could see agency expand its market share in rating mezzanine CLO debt

    Fitch has finalised its updated CLO rating criteria that include changes that could result in a number of upgrades to outstanding notes and increase the agency’s already dominant position in rating mezzanine bonds.

    Many of the changes concern Fitch updating its recovery assumptions amid the significant growth of non-bankruptcy defaults, including distressed debt exchanges, liability management exercises (LME), minor covenant .......

    News 4 June 2026

  • European securitisation benchmarks launched

    SCIx to provide sector and ratings reference points

    SCI has launched a family of indices covering the European ABS, CLO and RMBS markets – the SCI Composites Index (SCIx). Utilising SCI’s primary market database and the services of calculation agent MYcx, SCIx provides SCI subscribers with reference points across sectors and rating bands.

    The latest Index release – as at end-May 2026 – shows disparate levels .......

    News 2 June 2026

  • Octaura captures up to 8% of syndicated loan trading market in three years

    CEO Brian Bejile says rapid electronic adoption is reshaping...

    Electronic trading platform Octaura has captured roughly 7.7% of the syndicated loan trading market just three years after launch, underscoring what CEO and co-founder Brian Bejile describes to SCI as a rapid shift in market structure once thought unlikely to occur in leveraged finance.

    The platform traded US$7.7bn across 1,203 loans in March alone and surpassed US$19.6bn in .......

    News 1 June 2026

  • IQ-EQ completes Zenith acquisition expanding Italian structured finance presence

    Acquisition gives IQ-EQ its first foothold in Italy as the f...

    IQ-EQ yesterday completed its acquisition of Italian securitisation and structured finance specialist Zenith Global, following regulatory approval from the Bank of Italy and the Italian government’s foreign direct investment review board. The transaction gives IQ-EQ its first operational presence in Italy and further expands the firm’s structured finance and capital markets capabilities across Europe.

    Zenith employs more .......

    News 28 May 2026

  • US Bank sees CLO issuance rebound as managers expand into Europe and private credit structures evolve

    Hosni Shadid says geopolitical uncertainty and private credi...

    The CLO market is poised for renewed momentum in the second half of 2026, after a brief slowdown in issuance activity driven by geopolitical uncertainty, interest rate concerns and broader volatility in private credit markets, according to Hosni Shadid, head of CLO and alternative investments at US Bank.

    Speaking to SCI, Shadid says the year began with a .......

    News Analysis 28 May 2026

  • SCI In Focus: CLOs emerge as key funding tool for expanding private credit platforms

    Managers increasingly view CLOs as a scalable and resilient...

    The rapid growth of the private credit market over the last decade has also seen increased issuance of private credit CLOs, with a deepening market which has become an attractive alternative to BSL CLOs in recent years.

    US private credit CLO tranche volume in 2026 stands at US$16.7bn YTD, roughly one tenth of the overall CLO market .......

    Talking Point 26 May 2026

  • Job swaps weekly: Desjardins hires securitisation head, Gemcorp and ICG also hire structuring leads

    People moves and key promotions in structured credit

    This week’s roundup of structured credit job swaps sees alternative credit specialist Desjardins hire a md and head of securitisation, based in Ontario, Canada and Gemcorp Capital appointing a head of structured credit. Elsewhere, ICG appoints a head of US CLO structuring and capital markets, while BC Partners, Crescent Capital and Sona Asset Management all strengthen their structured finance teams with senior hires.

    Richard KC .......

    Market Moves 22 May 2026

  • Fitch marks first Euro CLO 'C' downgrade in 2.0 era

    Rating agency highlights growing pressure on lowest, riskiest tiers of European CLOs

    Fitch has warned that a recent downgrade of a European CLO may not be an isolated case in its latest European CLO performance monitor.

    Bain Capital Euro CLO 2018-1 had its class F notes downgraded to ‘C’, after being downgraded to ‘CCC’ from B in December 2025. At the time this was the first European .......

    News 22 May 2026

  • US BB CLO BWIC sees strong demand for higher-MVOC top-tier names

    Poh-Heng Tan from CLO Research provides insights US BB CLO B...

    Yesterday’s US BB CLO BWIC highlighted strong demand for top-tier names with higher MVOC levels, as reflected in their tighter DM prints relative to benchmark levels. Benchmark levels refer to the average DM prints by MVOC and manager tiering, based on SCI’s BWIC trading colour observed since mid-April.

    Notably, OAKC 2019-2A ER2, managed by Oak Hill Advisors, received .......

    News Analysis 21 May 2026

  • CLOs: First-quarter data shows strong technicals keep CLO machine running, despite market strains

    Global volume reached US$141bn in 1Q26 as strong investor de...

    The global CLO market displayed a relatively strong technical in 1Q26 - despite challenging market conditions - with total volume reaching circa US$141bn, according to the latest SCI Analytics CLO Quarterly Report. After a particularly strong end to 2025, primary issuance has fallen off slightly - but far less than may have been expected, given the levels of volatility associated .......

    News Analysis 20 May 2026
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