CLO Research compares US and EU CLO manager MVOC rankings with new-issue pricing since July 2026, revealing a mixed relationship between performance and pricing. While some managers with stronger MVOC rankings achieved top-quartile pricing across much of the capital structure, others with more modest rankings also priced particularly well. Conversely, several managers with relatively strong MVOC rankings achieved more mixed pricing. The findings suggest that while manager performance is certainly an important factor in new-issue pricing, other considerations – including reputation and scale, market perception, deal documentation, investor relationships and access to managers for individual credit analysis – can also play a role, although pricing may ultimately converge towards underlying performance over time.
A separate CLO Research study compares EU CLO managers’ shares of BWIC traded volume with their shares of CLO AUM over the past three years. Overall, trading activity was broadly aligned with AUM, although some managers accounted for noticeably higher or lower shares of secondary-market trading relative to their market presence. More meaningful differences emerged at individual tranche levels, with certain managers disproportionately represented in senior, mezzanine or equity trading. These patterns may reflect differences in investor bases, liquidity, deal seasoning and individual deal performance, among other factors.
A five-year review of US CLO BWIC activity, based on SCI data, highlights meaningful shifts in secondary-market trading and liquidity. BB tranches stand out for their high turnover relative to their share of outstanding balances, while BWIC execution has recovered steadily from the 2023–24 low. More recently, the market has also been characterised by fewer but larger BWIC line items, particularly in AAA. Traded prices have recovered strongly from the 2022–23 lows across CLO debt tranches, although performance has varied across the capital structure.
CLO Research has also updated its analysis of IRRs for fully liquidated US and EU CLOs. Overall, EU CLO equity has outperformed its US counterpart in terms of both average annual distributions and final equity NAVs, while the two markets have had similar average WALs of around 6.5 years.
Finally, equity performance remains one of the most closely watched measures of CLO manager performance, given its importance to a broad range of stakeholders. A manager that consistently delivers for equity investors may be better positioned to attract equity capital for future deals, which in turn can support future issuance and the further growth of its CLO platform. From an EU CLO equity perspective, managers such as Bridgepoint Group, Napier Park, Partners Group, Redding Ridge Asset Management and UBS Asset Management stand out.
Related articles:
Ranking EU CLO Managers by Equity Performance (Latest)
US CLO Pricing: When Manager Performance and New-Issue Pricing Diverge
EU CLO Pricing: Manager Performance vs New-Issue Pricing
5-Year US CLO BWIC Review: BBs Lead Secondary-Market Turnover
EU CLO Manager BWIC Trading Activity versus AUM Share
Five-Year European CLO BWIC Review: Mezzanine Tranches Punch Above Their Weight
EU CLO Equity: Realised IRRs by Vintage and Manager
US CLO Equity IRRs: Comprehensive Overview (Updated)
Disclaimers
The information, research, data, research-related opinions, observations, and estimates contained in this document have been compiled or arrived at by CLO Research Group, based upon sources believed to be reliable and accurate, and in good faith, but in each case without further investigation. None of CLO Research Group or its service providers; authorised personnel, or their directors make any expressed or implied presentation or warranty, nor do any of such persons accept any responsibility or liability as to the accuracy, timeliness, completeness, or correctness of such sources and the information, research, data, research related opinions, observations and estimates contained in this document. All information, research, data, research-related opinions, observations, and estimates in this document are in draft form as of the date of this document and remain subject to change and amendment without notice. Neither CLO Research Group nor any of their third-party providers shall be subject to any damages or liability for any errors, omissions, incompleteness, or incorrectness of this document. This article is not and should not be construed as an offer, or a solicitation of an offer, to buy or sell securities and shall not be relied upon as a promise or representation regarding the historical or current position or performance of any of the deals or issues mentioned in it.
