CLO Research

Since early 2025, the three educational articles below have collectively garnered over 7,500 views, underscoring continued interest in succinct, practical and relevant CLO content.

Looking at US BSL CLO BB tranches traded via BWICs since 14 April 2026, the graph below summarises DM cover levels (or best levels where DNT), grouped by manager tier and MVOC range for deals with reinvestment periods ending in 2029–2031.

Despite broader year-to-date widening in both discounted asset and liability spreads, recent tightening in liability spreads has outpaced that of assets, leaving new-issue arbitrage at around 167 bps as of 30 April.

Despite broader year-to-date widening in both discounted asset and liability spreads, recent tightening in liability spreads has outpaced that of assets, leaving new-issue arbitrage at around 167 bps as of 30 April.

Just as the first signs of spring draw people out into the streets, an improving trading backdrop, combined with post-April payment dates, brought a wave of equity tranches into BWIC last week, with every tranche trading with released covers.

As of 31 March 2026, total EU CLO collateral AUM stood at EUR 298.5 billion (USD 345 billion equivalent). The four largest managers are CVC Credit Partners, Blackstone, KKR, and Redding Ridge Asset Management, each managing over EUR 10 billion of EU CLO collateral AUM.