We’ll get through this awkward patch
Wide liabilities have made pricing CLOs trickier in the past few months. But speakers at Creditflux’s CLO Symposium were optimistic that the arbitrage is OK — so long as you can place those triple As

"It’ll take something special to drag my attention away from Depp/Heard, but Jerome Powell could just do it"
It’s not easy letting go of the past, but May heralds the start of something new in credit

Points up front: "It’s all me, me, me"
A study last month by the University of Marburg found that narcissistic fund managers are up to 34% more likely to deviate from their advertised investment style, and they tend to underperform non-narcissists.

"If omicron paradoxically lowers the temperature of the market, that may be no bad thing"
The global economy is well protected against omicron — and a mild infection may be beneficial

Everyone’s ramping

"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  

There will surely be jewels in the high yield dung heap, but the risk-reward is more compelling in IG
Whatever the long-term effects of the pandemic, one thing stays the same: IG looks attractive

Investors need to ask: can my asset manager survive the crisis?

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

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

If national income were a four-cylinder engine, the US economy is really only firing on one
The US economy’s reliance on consumers increases the likelihood of further rate cuts and diminishing returns for credit investors

Tourists have turned high yield into a sketchier neighbourhood… IG credit could be the answer
Using CDS to exploit roll-down in IG credit can generate good returns even in a low-rate environment

Going short IG against the ECB will eventually pay off
Chenavari’s Demian Brasil takes our credit quiz

It's essential to be senior in the capital structure
Concise Capital's Glenn Koach takes our credit quiz