Creditflux

High-spread CLO manager pre-markets short-dated deal
A CLO manager which is known for building high spread portfolios is pre-marketing a two year deal with price talk on the triple As at 120-125bp 

Falling correlation reignites passion for index tranche trades
Dispersion in the global corporate credit market is rekindling interest in correlation trading, with dealer sources reporting that a late surge lifted 2019 index tranche volumes to $250 billion.

Few CLOs charred by Murray bankruptcy
25 CLO managers hold  $389.6 million exposure to the debt of coal company Murray Energy Holdings, which filed for Chapter 11 bankruptcy in the Southern District of Ohio on Tuesday, according to the latest trustee reports from CLO-i   

Beyond blacklists: the next step in ESG
Credit managers are integrating ESG into their investment processes, but that does not mean they are unable to invest in unethical credits — they can, if they are paid adequately for the risk.

Zais revamps credit policy to reflect ESG
Zais Group has become the latest credit manager to implement an environmental, social and governance policy across its business

US credit managers make ESG breakthrough after taking a first step via UNPRI
Incorporating a framework for investing in companies based on environmental, social and governance (ESG) factors is a challenge that US credit managers are accepting in growing numbers

US CLO league tables: JP Morgan narrows gap to Citi in new issues to $50 million
July saw $14.9 billion of issuance in the US CLO space with $9.4 billion of that in new issue CLOs. One of the transactions brought to the market was Whitebox Capital Management’s debut CLO, Whitebox I.

Zais prices new CLO with record five classes of fixed-rate debt
Zais Group has priced a new issue CLO via JP Morgan that issues five classes of debt paying fixed rates of interest

ResponsAbility closes impact securitisation at $175 million
ResponsAbility, a Zurich-headquartered impact assessment manager, has closed a $175 million securitisation of loans to microfinance and SME-finance providers in emerging markets

CLO pipeline: Barclays and Goldman branch out to mid market
The US CLO pipeline has been full in recent weeks and this continues, with 18 new issue CLOs and a further nine refinancings appearing this week.

Seriously, the CLO arb is difficult right now

Seriously, the CLO arb is difficult right now
We know the arbitrage for CLO equity is never perfect, but the arb progressively deteriorated through 2018. Since January, the picture has worsened further after a brief respite in December

Zais prices third new issue CLO of 2018 with triple As paying 137.5bp
Zais Group priced its third new issue CLO of the year on Friday, with Bank of America Merrill Lynch the arranger

Wide CLO pricing need not be a drag
Established managers can price CLO liabilities at attractive levels, but we find that CLOs saddled with higher financing costs have nevertheless been among the market’s outstanding performers

Wide CLO pricing need not be a drag
Established managers can price CLO liabilities at attractive levels, but we find that CLOs saddled with higher financing costs have nevertheless been among the market’s outstanding performers

Zais upsizes 2015 deal for its second CLO transaction in a week
Zais Group priced a $460 million CLO reset on Friday, marking its second transaction in the primary market in the same week

Zais prices its second new CLO of the year with triple As at 120bp
Zais Group teamed up with JP Morgan yesterday to price its ninth CLO, according to market sources

Price talk widens for forthcoming Zais CLO
Price talk has widened for Zais Group’s forthcoming CLO Zais CLO 9, a new issue deal that’s expected to price via JP Morgan later this month

Zais partners with JP Morgan to arrange forthcoming CLO
Zais Group is working with JP Morgan to arrange its second new issue CLO of 2018 named Zais CLO 9

Zais hit with class action filing over proposed go-private deal
A Zais Group stockholder has filed a putative class action lawsuit against the firm, taking aim at Zais’s plans to merge with subsidiary ZGH Merger Sub and Zugel’s firm Z Acquisition – a plan that would result in the company going private

Zais opts for three-year reinvestment period as it issues new US CLO
Zais Group has taken advantage of demand for short-dated CLO paper by pricing a new US CLO with a three-year reinvestment period

Zais achieves its best execution yet with new US CLO
The $564 million deal priced yesterday, and is set to close on 19 October

Founder looks to take structured credit manager Zais private
Founder Christian Zugel has bid to take Zais Group private, ending its two year stint as a public company

L-shape position trades from manager's 2016 US CLO
Several of the debt tranches and a sizeable amount of equity in Zais CLO 5 traded from a b-wic yesterday, in one of the more unusual secondary CLO market trades of recent times.

Spread decline makes style vital
It’s not the number of CLOs you manage, it’s how you manage them: with 62 US firms pricing CLOs this year, managers are keen to stand out from the crowd