INSIGHTS

CLOs: Success Drives Growth

February 16, 2022

Executive Summary

The strong growth of the CLO market over the past decade owed its success to numerous factors — the durability of term leverage structures, the up-in-quality bias of CLO loan portfolios, the demand for high-rated fixed income securities, and the growth of private credit markets have all played major roles. And perhaps most importantly, during a period where yields on public fixed income securities have fallen to unviable levels for many investors, CLO equity has continued to generate high annual cash flow (Exhibit 1).
 

March 2022

Pretium’s Environmental Report.

Read here to learn more.