Fund performance: Presents under the tree as CLO funds perform

Ucits at a glance: Ucits end strong year on a high

CLOs at a glance: Lightning strikes twice with static shocks

Credit funds at a glance

You need a balanced portfolio that’s ready for calculated risk taking — so consider a barbell approach
Investors can’t afford to be too conservative as they prepare for the end of the cycle

It's imperative to remain in liquid assets and this makes CDS indices attractive

York liquidates credit opportunities fund following redemption requests
York Capital Management has decided to liquidate its 2011 vintage credit opportunities fund following what it termed 'significant redemption requests'

Moody's cuts Octagon CLO tranche to Caa2 citing low expected recovery rates
The class F notes of a 2014-vintage CLO managed by Octagon Credit Investors have been downgraded to Caa2 by Moody’s

Bifurcation in loan market will continue in 2020, says MUFG
Bifurcation in the leveraged loan market, a trend that dominated the market in 2019, looks set to continue in 2020, according to MUFG’s co-head of debt capital markets Jeffrey Knowles

Not energy efficient: manager to liquidate energy credit ETF as AUM stalls
Purpose Investments is shutting down its exchange-traded energy credit fund due to “low assets under management” and the associated cost-difficulties of managing such a fund

CLOs at risk of failing WAS tests due to loan refi wave, finds JP Morgan
 Some CLOs could be at risk of failing their weighted average spread tests or could be at risk of a refi or reset due to a forthcoming refinancing wave in the loan market, according to new research from JP Morgan

McDermott slips into bankruptcy with CLOs holding almost $1 billion
42 CLO managers hold $957.6 million of the debt of McDermott International, which filed for Chapter 11 bankruptcy on Tuesday. Under the plan, McDermott’s term loan and revolving lenders will receive 94% of McDermott’s reorganised equity and $500 million in take back senior secured term loans. Term loan claims are expected to recover 84%, according to a disclosure statement 

Three US CLO anchor equity positions go on sale one week after payment dates
A trifecta of control equity positions in US CLOs are available to bid on later today, one week after all three deals made scheduled payments to their investors. 

Moody's downgrades tranche from reissued 2018 CLO to triple C citing par loss
Moody's has downgraded a tranche of a CLO reissued in 2018 to triple C, the rating agency said in an announcement

Class F notes of 2018 CLO downgraded to triple C by Moody's
Moody’s has downgraded the class F notes of a 2018 CLO to Caa1, citing par loss in the underlying portfolio for its decision

Partners nears $100 billion in AUM as CLOs drive private debt growth
Swiss manager Partners Group has reached $94.1 billion in assets under management, with CLOs boosting the firm’s growth, according to its 2019 annual results  

CLOs face losses as Constellis loan drops to 28.5
32 CLO managers hold $640.4 million of Constellis Holdings’ debt, which Moody's downgraded to C after the company missed an amortisation payment due 31 December

US CLO tranche downgraded to Caa3 amid OC and warf test failure
A $5 million tranche of a 2014-vintage CLO has been downgraded to Caa3 by Moody’s

Clover bankruptcy leaves print marks on CLOs
CLOs hold $256 million of the debt of printing supply company Clover Technologies Group, which filed for Chapter 11 bankruptcy on Monday

Don’t get too comfortable. The truth is there are hundreds of things that could be catalysts for a sell-off
Just because there’s no obvious sign of a sell-off, doesn’t mean it’s not going to happen. Often, market moves defy logic

‘Buying the dip’ is going to be a poor investment strategy when the next downturn comes
The next credit downturn will be shallower but more prolonged than the last, so what works will be different, too

Not all old tier one CLO managers lived up to their premier billing

Attack is the best form of defence
Yes, idiosyncratic risks are creeping into corporate credit. But speakers at Creditflux’s CLO Summit were convinced that the most creative firms will be able to thrive without taking on additional risk

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.