China teaches tough lessons to foreign investors
China’s regulatory crackdown on some of its fastest-growing industries created shockwaves that have reverberated widely, dragging on US and European credit at the end of July.

Credit hedge funds (August 2021)
Credit hedge fund returns

US plays catch up with Europe as spreads reconverge
There has been a slight softening of European credit on Tuesday, even as stocks hold onto their record highs and US credit spreads take their chance to close the gap after recent underperformance

Middle east firm hires high profile loan official to build on control CLO equity business
Middle east asset manager Lakemore Partner is doubling down on CLOs with the control CLO equity investor hiring one of the biggest names in the loan and CLO management business

"China can act how it wants and when it wants in curbing the ambitions of tech firms… but sell offs tend to be opportunities for new buyer
China's latest moves to rein in private enterprise with new rules for education providers have certainly intensified the regulation risk landscape - but Welshcake asks whether this forthrightness could be instructive

Publishing boost for French firm but China sours wider market
Lagardere is a notable positive outlier in another off day for the credit market, after China turmoil rocked stocks and sent spreads wider

China crackdown and Fed meeting rattle nerves
Credit spreads widened as financial markets began the week on a less certain footing amid panic stock selling in China and a retreat to treasuries ahead of the US Federal Reserve two-day monetary policy meeting

Credit Rendezvous: And breathe...
The unanimous verdict is that credit spreads will be moving wider – they have to. But the difficulty credit fund managers face is predicting when the next sell-off comes and how sharp it will be. In the Q3 instalment of Creditflux’s Credit Rendezvous, the over-riding message from portfolio managers is that there’s little point in taking on too much risk. The report features the views of prominent credit figures including Paul Horvath (Orchard), Himani Trivedi (Nuveen), Ronnie Jaber (Onex), Graham Rainbow (Alcentra) and Michelle Russell-Dowe (Schroders). The report looks at 14 segments of the market including CLOs, direct lending, leveraged loans, distressed debt and credit derivatives.  

The View from ION Analytics: paradise blues
The reopening of economies from Covid-19 lockdowns has created distortions in financial markets that are harder to navigate than those of the original sell-off in early 2020. Even big-name economists and central bankers are confused, changing their views in recent weeks. 

Jefferies and SMBC form $2.25 billion partnership
Jefferies and SMBC Group have announced an alliance which will see SMBC provide a $1.9 billion credit facility to Jefferies Finance, the leveraged finance affiliate of Jefferies, and $350 million to Jefferies Group.

CSO pipeline strengthens following ESG breakthrough
ESG criteria and longer investment horizons are driving new business in a resurgent bespoke tranche market, say dealers. And while this is unlikely to get 2021 near to a 2019-like haul of deals by year end, hopes are high that volume is firmly back on an upwards traject

They said it: "A lot of value was lost due to CLO window dressing"
"A lot of value was lost due to CLO window dressing"

Credit hedge funds (July 2021)
Credit hedge fund returns

Muzinich launches APAC private debt fund with DBS as anchor investor
Muzinich has launched an Asian special situations fund named Muzinich Asia Pacific Private Debt I

HSBC AM names CEO of new $53bn alternatives business
HSBC Asset Management has become the latest manager to bring together its ‘alternatives’ capabilities under one roof, with the launch of a new unit, HSBC Alternatives

Shipping firm adds buoyancy amid few signs of choppiness in credit
CMA CGM, the French container shipping company, is a big mover today amid very calm waters elsewhere in credit.

"In the afternoon I awoke from a pile of willow leaves to discover we had created a Welsh ether-based token"
A localised crypto-currency boom and bust cycle teaches Welshcake (again) that everything becomes correlated in a downturn  

Credit hedge funds (June 2021)
Credit hedge fund returns

Credit bull run picks up amid commodities surge
European credit spreads have made a sharp turn for the tighter, building on last week's strong run, even after Asian spreads weakened on rising commodity costs

Commodity inflation sends Asia spreads back to wides
Asian credit and stocks added to a rough few days with further sell offs on Thursday, outpacing deterioration in other regions

Sell-off regathers momentum as inflation signals mount
A glum mood has returned to financial markets, beginning with the US session on Tuesday and overspilling into global trading on Wednesday

Credit underperformance resumes as equity turns corner
Credit markets are pushing wider once again on Wednesday, even though stock markets look to regaining some composure following Tuesday's steep sell off

CLO fund comes top by distance in middling month for credit
A CIS Asset Management fund, which invests mainly in US CLO equity, was the star performer in March after gaining 7.36% in the month

Credit hedge funds (May 2021)
Credit hedge fund returns

China Huarong’s late annual report unsettles market
China Huarong Asset Manager, the state-owned bad debt manager, has been a big driver of credit volatility in an otherwise placid market, after its delayed annual report sent shockwaves through the region and beyond.