Primary US BSL CLO Pricing: Assessing Relative Value Across the Capital Stack (July 14, 2025)
Primary US BSL CLO Pricing: Assessing Relative Value Across the Capital Stack (July 14, 2025)
Primary US BSL CLO Pricing: Assessing Relative Value Across the Capital Stack (July 14, 2025)
Primary US BSL CLO Pricing: Assessing Relative Value Across the Capital Stack (July 8, 2025)
US BSL CLO AAA tranches are currently pricing cheaply relative to their year-to-date averages.
Relative to their year-to-date averages, EU CLO AAA, AA, BB, and single-B tranches are currently screening as cheap.
The loan index used for this analysis is the Morningstar Euro-denominated Leveraged Loan Index.
As of 11 June 2025, the latest arbitrage metric for non-short-dated US CLOs stood at approximately 216 bps, lower than the level recorded at the start of the year. Notably, the AAA–BB DM differential has narrowed to below 400 bps, with the latest Neuberger Berman Loan Advisers CLO 61 showing a differential of 360 bps.
