S&P upgrades CLO twice in four days after refi changes the equation

By Sayed Kadiri

Tuesday, May 21, 2013

Arranger wins role organising refinancing for Ares CLO

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Comment by: Anonymous. Posted 10 years ago [2013-05-21 23:05:21]

Very interesting - it's true that freeing 60+ bps pa at the top of the waterfall will reduce losses to subordinate tranches, the degree of the benefit depends on how good the CLO model is. If the S&P model merely applies a constant CDR, then it overstates the benefit.

CLOs

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