Freemium: Complimentary Access for Investors

CLO Research provides independent research and insights on CLOs, offering investors and managers fresh, unbiased perspectives to support their decision-making.

If you’re an ***investor*** in the CLO market, we invite you to register with us using your business email address to gain complimentary access to our freemium content.
If you’re interested in learning more about the premium content or would like a walkthrough of the website via Zoom, please don’t hesitate to email info@clopremium.co.uk.

Inside Look: How EU CLO AUM Breaks Down by Reinvestment Period and WAL Test Cushion

CLO collateral WAL test cushions play a vital role in allowing CLO managers to optimise underlying collateral spreads through trading, purchasing new long-dated assets, or amending and extending existing ones. This article provides an overview of EU CLO assets under management (in billions), broken down by reinvestment (RI) period and reported WAL test cushion, as of 31 March 2023.

Latest US CLO MVOC (AAA–B) and EQ NAV by Vintage

Market Value Over-Collateralisation (MVOC), for instance, at the BBB tranche level, is calculated by dividing the collateral MV by the sum of CLO liabilities (AAA to BBB). MVOC is a crucial point-in-time metric for pricing CLO-rated tranches, closely monitored by primary and secondary market participants. Calculating CLO Equity NAV involves dividing the residual collateral value (MV collateral net of total CLO debt notional) by the equity tranche notional. In today’s market, older vintage CLO deals with limited reinvestment flexibility may suffer more. For post-2012 CLO deals to deliver a decent equity IRR, the final NAV realization plays a crucial role.

1 5 6 7 18
Page 6 of 18