CSO arrangers look to build on $65bn of issuance in 2019
The synthetic bespoke tranche market this year has fallen short of expectations in terms of overall issuance volume, but ends with transformative inroads being made.

Reality bites after credit traders abandon Brexit hedges
Rediscovered faith in the ability of the UK and European Union to reach an agreement before the 31 October Brexit deadline has helped fuel a surge tighter of credit spreads, led by UK financial names. But that break with caution faces an immediate reality check today, following admissions a lot more work is needed

Go long CLO triple-A and pick cash bonds over CDS, says JP Morgan
Going long European CLO triple A paper remains one of JP Morgan strategists’ favourite trades following the European Central Bank stimulus announcement last week, despite these tranches having rallied 14bp on average since the bank first backed them. They also predict cash credit to outperform CDS

Buy iTraxx Europe equity tranche risk but sell Crossover mezz, says JP Morgan
Investors should stick with ‘search for yield’ ideas in investment grade credit, say JP Morgan credit strategists, including selling iTraxx Europe 0-3% equity tranches delta hedged, going long the 10-year Europe index, and selling credit volatility through index options while buying equity market volatility

Index tranches and Sub Fin basket among top picks after ECB meeting, says JP Morgan
The European Central Bank’s statement that rate cuts will likely be paired with tiered deposit rates suggests a boost for the iTraxx Sub Financials index, as well as tier two and additional tier one bank bonds, says JP Morgan in latest credit research. The bank also advocates selling iTraxx Europe 0-3% tranches delta hedged

Arrival of five-year bespokes draws in CLO investors
Synthetic bespoke tranches are undergoing a major shift, with dealers projecting five-year business to supersede previously dominant shorter tenors by the end of 2019.

Bespoke gains pull CLO buyers as market tipped to hit $100bn
Synthetic bespoke issuance could catch up with the more visible CLO market this year, say structured credit specialists

Tabula launches ETF to capture iTraxx Crossover and CDX HY volatility premia
Tabula Investment Management, a European fixed income exchange traded fund (ETF) provider, has launched a product aimed at capturing the volatility premium embedded in index options on iTraxx Crossover and its US counterpart CDX HY

LCH expands into US with CDSClear as JP Morgan goes live
CDSClear, the Paris-based credit default swap clearing house of LCH, has expanded its reach into the US with JP Morgan becoming the first US bank to offer client clearing

Global head of credit correlation leaves JP Morgan to launch new hedge fund
Market sources say that a high profile figure, known to have been responsible for unwinding JP Morgan's 'London whale' positions, has left the bank to start his own hedge fund

JP Morgan keeps up synthetic CDO momentum
Sources say that JP Morgan priced a $500 million synthetic CDO last month, underlining its position as one of the key deal arrangers in this market

Former Claren Road professionals raise more than $274 million for credit fund
New York based Duane Park Credit Management has raised more than $274 million for its credit fund since launching in 2016, regulatory filings indicate

GoldenTree hires JP Morgan executive to head new Australian office
New York-based credit specialist GoldenTree Asset Management has opened an office in Sydney - and hired a JP Morgan executive - as part of its push into the Asia-Pacific region

BlueCrest's rapping credit derivatives portfolio manager goes west side
A credit portfolio manager, with a talent for rapping, has moved to a private bank in Los Angeles