CLO Monthly Monitor
CLO performance was positive across the board in July as carry drove total return.
CLO Monthly Monitor
CLO performance was positive across the board in July as carry drove total return.
Contents
CLO performance was positive across the board in July as carry drove total return while spread movements were bifurcated with modest widening in the investment grade tranches and tightening in the BB tranche.
The loan asset class generated positive performance as robust risk appetite was a tailwind in July. Relative to credit peers, loan performance outpaced the +0.45% and+0.07% total returns of high yield and investment grade corporate bonds respectively, as rising U.S. Treasury yields largely offset spread compression.
CLO performance was positive across the board in July as carry drove total return while spread movements were bifurcated with modest widening in the investment grade tranches and tightening in the BB tranche.
The loan asset class generated positive performance as robust risk appetite was a tailwind in July. Relative to credit peers, loan performance outpaced the +0.45% and+0.07% total returns of high yield and investment grade corporate bonds respectively, as rising U.S. Treasury yields largely offset spread compression.