Market Commentaries



Eur/GBP

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Feedback on Commentaries and Analysis is welcome
Sheil Aggarwal


select * from bbg_commentary where 1=1 order by date desc
  • 26 January 2024

    USD CLO AAA

    $51m of liquidity today in AAA and BB, with spreads flat and US LSTA 100 Index +3bp dod.  AAA trade 126dm-167dm for 1st pays (AAA Index 147dm) and 2nd pays 148dm-209dm with the tight end of the 2nds post reinvestment short wal bonds.

    USD CLO Mezz/Equity

    2 x BB trade 710dm-731dm both post reinvestment profiles with weaker MVOCs and the BB Index 700dm.


  • 25 January 2024

    USD CLO AAA

    Non benchmark AAA trade today 98dm-173dm with the AAA Index unchanged at 147dm, US LSTA +9bp dod.

    USD CLO Mezz/Equity

    BBB trading range is 325dm-563dm with benchmarks 325dm-387dm with some rebalancing of some longer maturities (BBB Index 351dm).  BB trade 667dm-921dm with benchmarks 685dm-717dm (BB Index 700dm) with a slightly firmer tone in execution of benchmarks.

    EUR AAA CLO

    AAAs continue to edge slightly tighter. Today’s trades are at 129 dm.

    EUR MEZZ/EQUITY CLO

    Single B’s are holding steady today at 953 dm.

    There are three equity trades with yields ranging from 15% to 20%.


  • 24 January 2024

    USD CLO Mezz/Equity 

    $174m of non-AAA trading today, US LSTA 100 Index +1bp dod and CLO spreads on the whole flat.  AA trade 192dm-241dm with benchmarks 192dm-203dm (AA Index 195dm).  BBB trade 343dm-509dm with one benchmark trade MORGN 2018-2A D CVR 98.66 at 343dm / 7.2y WAL post reinvestment (2023) - BBB Index 345dm.  BB trade 581dm-1113dm with benchmarks trading 699dm-701dm (BB Index 701dm), short wal / post reinvestment bonds inside the index and typically post reinvestment bonds with weaker MVOC profiles (<105) account for those significant bonds wide of the index.

    EUR MEZZ/EQUITY CLO

    Another day of subs and equity trades. BBBs continue to tighten and have traded around 358 dm.

    BBs are steady now in secondary at around 677 dm.

    Single B’s traded at 996 dm.

    There are two equity trades – both around 24% yield.


  • 23 January 2024

    USD CLO AAA

    $287m of liquidity, highst daily volume YTD across the stack, CLO spreads broadly flat and US LSTA 100 Index -2bp dod.  1 x 1st pay AAA trade at the AAA Index level TCW 2021-2A AS CVR 100.11 at 148dm / 4.1y WAL.  2 x rarer MM CLOs trade 174dm-177dm which is tighter than recent comps.

    USD CLO Mezz/Equity

    AA trade 173dm-204dm with benchmarks 192dm-198dm (AA Index 195dm).  BBB trade 323dm-532dm with 1 x benchmark BABSN 2019-3A DR CVR 99.02 at 337dm / 4.9y WAL (EoRP April 2024) with MVOC 110.6 and Barings managed (BBB Index 345dm).  BB trade 689dm-925dm with benchmarks 706dm-709dm (BB Index 702dm).  1 x single-B trade today which is post reinvestment MAGNE 2015-12A FR CVR 95.01 at 934dm / 7.1y WAL and tight to the index given the shorter wal.

    EUR MEZZ/EQUITY CLO

    AAs continue to grind tighter, trading today at around 188 dm.

    Single A’s are also much tighter at 216 dm.

    BBBs traded at 407 dm.

    BBs may have met resistance to further tightening. Today’s trades are at around 742 dm whereas the previous day it was 587 dm. Of course a lot of that is due to the exact nature of the bonds traded but we do see some resistance levels.

    Single B spreads are skewed by a particularly wide trade for HAYEM 7X F. Three other bonds traded around 1096 dm but HAYEM 7X F was at 1421 dm.

    There are three equity trades today. Two traded on a DCF basis at around 18% yield. ANCHE 6 equity traded on a NAV basis.


  • 22 January 2024

    USD CLO Mezz/Equity

    Only $16m of mezz trades today with US LSTA tightening +7bp, with the only movement on single-A with our single-A Index tightening to 252dm, trading today 238dm-242dm with a benchmark trade at the wide end of the range.  BBB trade 356dm-370dm (BBB Index 346dm) with little in the way of significant benchmark activity.

    EUR MEZZ/EQUITY CLO

    A day of sub trading today. BBs traded around +587 in secondary. In Primary Trinitas Euro VI priced its BB at 670 dm.

    Single B’s traded around 961 dm. Trinitas VI priced at 935 dm. The price to maturity of these bonds used to be at a big discount to price to call but is now on top of it.

    TIKEH 2X SUB equity traded at 16.55% yield. Equity valuations have also rallied a lot, in line with debt.


  • 19 January 2024

    EUR AAA CLO

    AAAs continue to rally. Today’s trades in secondary are at around 126 dm. At the end of last year, in secondary, they were at around +175.

    EUR MEZZ/EQUITY CLO

    Just one AA trade. HARVT 7X BR has started paying down and only has a 0.3yr WAL and traded at 110dm.


  • 18 January 2024

    USD CLO AAA

    $84m of liquidity today across the stack, spreads stable and US LSTA 100 Index -1bp dod.  AAA post reinvestment bonds trade 127dm-145dm and AAA Index unchanged 147dm.

    USD CLO Mezz/Equity

    Most of the mezz activity today is sub-investment grade with 18 x BBs trading in a 587dm-1277dm dispersion with benchmarks 693dm-697dm (BB Index 704dm).  At the tighter end of the range are post reinvestment / short wal and high MVOC pre-reinvestment bonds, whilst MVOC migration to 100 drives those bonds wider to the index.  

    EUR AAA CLO

    Just one AAA trade today. CGMSE 2015-3X A1AR traded at 103 dm due to the fact that it has started delevering.

    EUR MEZZ/EQUITY CLO

    AAs traded around 201 dm.

    Single A’s are at 242 dm.

    In BBBs the seasoned DRYD 2017-62X D with a +270 margin traded at 367 dm. The recently closed ICGE 2023-2X D with a +520 margin traded up at 101.19 / 501 dm.

    BBs look tighter again, at around 699 dm.

    Single B’s traded around 969 dm.

    Two equity pieces traded at around 18% yield.


  • 17 January 2024

    USD CLO AAA

    $87m of liquidity with a slightly softer tone, US LSTA 100 Index -5bp dod.  AAA trade 151dm-164dm for 1st pays and 2nd pays 175dm-229dm with our 1st pay AAA Index now 147dm.

    USD CLO Mezz/Equity

    AA trade 184dm-211dm with benchmarks 194dm-201dm (AA Index 196dm).  BB bonds trade 633dm-885dm with the vast majority of bonds post reinvestment and low MVOC profiles (<103.5) so do not impact the index level 708dm.

    EUR AAA CLO

    AAAs have tightened slightly again and today’s spreads average around +141.

    EUR MEZZ/EQUITY CLO

    ABCVL 1X B (AA) traded at 300 dm.

    BBs have traded around 750 dm. To demonstrate the recent rally PENTA 2020-7X E traded at 91h on 19 Dec 2023 and at 94h today.

    Regular single Bs have traded around 1140 dm. GLGE 3X F, which has been downgraded traded at 1377 dm.

    Two equity pieces traded. Both are around 24% to 25% yield.


  • 16 January 2024

    USD CLO AAA

    US LSTA 100 Indx +9bp on last CLO trading day last week givn the holiday weekend.  Only 7m of flow today with spreads largely unchanged with some mild tightening at AA.  AAA Indx unchanged at 146dm

    USD CLO Mezz/Equity

    AA trade 184dm-193dm for 2 x post reinvestment bonds, we shift the AA Index slightly to 195dm. otherwise no mezz trades to note.


  • 11 January 2024

    USD CLO AAA

    $96m of liquidity today across IG and SubIG, US LSTA 100 Index flat dod and CLO spreads remain firm.  AAA trade 145dm-161dm with the AAA Index 146dm.

    USD CLO Mezz/Equity

    AA trade 201dm-215dm (AA Index 199dm) one benchmark VOYA 2021-1A B CVR 99.9 at 201dm.  1 x benchmark Single-A trade OCT39 2018-3A C CVR 100.02 at 253dm (single-A Index 263dm).  BBB trade 320dm-457dm with benchmarks 333dm-355dm (BBB Index 346dm).  BB trade in a wide dispersion 649dm-949dm with benchmarks 680dm-737dm (BB Index 708dm).

    EUR AAA CLO

    AAAs are steady today with average spreads at +149.

    EUR MEZZ/EQUITY CLO

    HAYEM 9X E (BB rated) traded at 855 dm. Fidelity Grand Harbour 2023-2 is talked at M700s dm for the BB. The reason for this difference is because the Hayfin bond has a high margin at 719 bps.


  • 10 January 2024

    USD CLO AAA

    $230m of liquidity today across all rating bands, US LSTA 100 Index +5bp dod and CLO spreads tighter across the stack.  AAA trade 125dm-168dm with our AAA Index now 146dm with benchmarks trading 143dm-147dm, post reinvestment short wal bonds inside the index.

    USD CLO Mezz/Equity

    AA tighten and trade 176dm-236dm with benchmarks 199dm-206dm (AA Index 199dm).  Single-A trade 228dm-261dm inside the index given post reinvestment short wal and high MVOC profiles.  BBB trade 311dm-406dm with benchmarks 335dm-363dm (BBB Index 348dm) with lower MVOC profiles trading wide of the index but benchmarks are tighter.  BB trade 594dm-837dm with benchmarks 716dm-739dm (BB Index 717dm), eg. OCP 2019-17A ER covers 98.7 at 716dm / 5y WAL – EoRP 2024, Onex managed and clean metrics (MVOC 105.1).  3 x single-Bs trade 641dm-1325dm with all bonds post reinvestment and different MVOC profiles driving the tiering level especially for the tighter bond MDPK 2015-19X ER which covers 100.065 at 641dm / 4.1y WAL – MVOC 106.08 and 3y post reinvestment end and deal is deleveraging significantly.

    EUR AAA CLO

    AAAs are steady today with average spreads at +155.

    EUR MEZZ/EQUITY CLO

    HARVT 16X CRR (single A) traded at 270 dm which is a tighter level than we have seen for a secondary single A for a long time.

    BBBs are tighter again with today’s trades at around 444 dm.

    BBs are steady today, at around 706 dm.


  • 9 January 2024

    USD CLO AAA

    $154m of trading across the capital structure with market remaining well bid, US LSTA 100 Index +1 bp dod.  1 x AAA trade OAKC 2019-3A AR covers 100.077 at 145dm / 4.1y WAL / EoRP 2026 benchmark close to our AAA Index 148dm.

    USD CLO Mezz/Equity

    AA trade 188dm-245dm with benchmarks 195dm-216dm (AA Index 205dm) with weaker managers, higher coupon bond, lower MVOC profile bonds wide to the index.  BBB trade 278dm-598dm with few benchmarks trading (BBB Index 363dm) given profiles.  BB trade 676dm-996dm with one benchmark OCP 2019-16A ER covers 98.88 at 723dm / 4.5y WAL (EoRP this month) with clean metrics and Onex the manager this trades close to our BB Index 727dm.  1 x single-B post reinvestment profile bond covers 88.55 in a small clip at 961dm / 5.9y WAL non benchmark bond.

    EUR AAA CLO

    AAAs continue to ratchet in. The trades today are at around 143 dm.

    EUR MEZZ/EQUITY CLO

    AAs are also tighter, by around 20 to 25 bps. Today’s average spread is 215 dm.

    There is only one single A trade and this has also rallied. SPAUL 4X BRRR traded at 286 dm.

    ACLO 10X D (BBB) traded at 434 dm.

    BBs are participating in the rally and have traded around 741 dm.


  • 8 January 2024

    USD CLO AAA

    $49m of liquidity today, some spread tightening at AAA/BB and US LSTA 100 Index +5bp dod.  AAA trade 114dm-178dm with benchmarks 143dm (AAA Index 148dm).

    USD CLO Mezz/Equity

    2 x low coupon single-As trade inside the index 241dm-243dm (Index 272dm) with coupons +195-205bps.  BB saw the most liquidity in mezz with a trading range 600dm-873dm with 1 x benchmark UNPPK 2022-1X E CVR 100.08 at 723dm / 8.2y WAL (EoRP 2027) from Blackstone and clean metrics (BB Index 728dm).

    EUR MEZZ/EQUITY CLO

    There are a couple of BBB trades today. Spreads are unchanged at around 431 dm.

    BBs are also unchanged at around 693 dm.


  • 5 January 2024

    USD CLO AAA

    $33m of trading today, CLO spreads flat and US LSTA 100 Index -1bp dod so very little movement.  AAA trade 130dm-155dm with benchmarks 147dm-155dm (AAA Index 150dm).

    USD CLO Mezz/Equity

    AA trade 190dm-202dm with one benchmark trade in a small clip SYMP 2020-23A BR CVR 99.57 at 202dm / 6.2y WAL (AA Index 208dm).  1 x Single-A trade SYMP 2018-20A CR CVR 99.96 at 269dm / 3.8y WAL (EoRP this month) vs Single-A Index 272dm.  BBB trade 323dm-452dm with all trades post reinvestment and one single-B trade post reinvestment SHACK 2015-7RA F CVR 72.68 at 1323dm / 7.6y WAL - cuspy MVOC 100.16, ADR 1.16, Jnr OC cushion 0.23 and downgraded to C well wide of the index 1031dm.


  • 4 January 2024

    USD CLO AAA

    $220m of liquidity today with spreads remaining stable and US LSTA 100 Index flat dod.  AAA 1st pays trade 133dm-166dm with our AAA Index 150dm.

    USD CLO Mezz/Equity

    AA trade 194dm-219dm with our AA Index 208dm with one MM CLO trade ABPCI 2020-10A B1 CVR 99.77 at 277dm / 3.1y WAL (EoRP this month).  2 x rare single-A MM CLOs trade 329dm-376dm.  BBB trade 368dm-425dm with all bonds non-benchmark post reinvestment profiles or weaker MVOC (BBB Index 363dm).  BB trade 647dm-1008dm (BB Index 734dm) with all profiles non-benchmarks (high MVOC inside the index and post-reinv/low MVOC profiles wide of the index).  Single-Bs trade 1029dm-1540dm (single-B Index 1031dm) with MVOCs on today's trades all well lower than benchmark 104area with only very short wal bonds post reinvestment close to the index level.

    EUR AAA CLO

    AAAs traded today at around 151 dm. This is a considerable rally on last year’s levels, around 20 bps tighter.

    EUR MEZZ/EQUITY CLO

    JUBIL 2016-17X CRE, single A rated, traded at 317 dm, unchanged from last year.

    BBBs have traded around 474 dm. Two of the trades had low MVOCs which could be the reason for the apparent widening.

    BBs are unchanged at around 739 dm in secondary.


  • 3 January 2024

    USD CLO Mezz/Equity

    $19m of BB trading today with BB Index moving sideways 734dm, dm range 643dm-1055dm with benchmarks trading 716dm-742dm with weaker MVOC profile bonds pushing out the tail of the trading range which is in small tickets.


  • 2 January 2024

    USD CLO AAA

    $64m of post reinvestment 1st pay AAA traded today across 11 trades with no impact on the AAA Index which is 148dm, US LSTA 100 Index +10bp on year end.

    EUR MEZZ/EQUITY CLO

    Just a couple of BB trades to start the year off. The average traded spread is 721 dm.


  • 26 December 2023

    USD CLO AAA

    US LSTA 100 Index +17bp on last CLO trading day last week, 6 x AAA trade, with 5 x 1st pays trading 144dm-154dm whilst 1 x 2nd pay BABSN 2016-1A A2R trades 184dm (post reinvestment).


  • 18 December 2023

    USD CLO AAA

    $277m of flow today across the stack, spreads tighter and US LSTA 100 Index +12bp dod.  AAA trade 135dm-161dm with benchmarks 149dm-150dm and our AAA Index now 152dm.

    USD CLO Mezz/Equity

    AA trade 179dm-213dm with benchmarks 205dm-213dm centred around our AA Index 210dm.  BBB trade 372dm-698dm with all profiles either post reinvestment / high coupon / weak manager and wide of our BBB Index 362dm.  BB trade 726dm-909dm with 1 x benchmark trade OCP 2015-9A ER CVR 98.38 at 726dm / 5.6y WAL – MVOC 105.2, coupon +680bps with our BB Index 739dm.


  • 13 December 2023

    EUR MEZZ/EQUITY CLO

    Realtively low liquidity today and spreads are holding steady. AAAs traded at +169, AAs at +249, BBB at +412 and BB at +877.

    ARESE 11X SUB equity traded at 61.07 / 22.46%.


  • 11 December 2023

    USD CLO AAA

    $29m of trading today - AAA, BB and Equity, spreads flat dod and US LSTA 100 Index +13bp dod.  1st pay AAA trade 140dm-167dm and 2nd pays 172dm-199dm.  AAA 1st pay Index 159dm.

    USD CLO Mezz/Equity

    BB trade 711dm-840dm, with all profiles with weaker MVOCs 103-104area with benchmarks 105area (BB Index 751dm).