European-compliant CLOs try to sidestep US risk retention rules
CLOs complying with European risk retention have had to tweak their legal language to avoid coming under US rules, in what has become known as a ‘conditional sales’ approach

Unitranche deals set to grow with creation of uniformity
European direct lenders have been given a boost with the Loan Market Association establishing a new precedent unitranche intercreditor agreement to govern the relationship between credit funds and banks

Past returns: KKR CLO was sign of things to come
Five years ago in Creditflux, we reported on KKR Credit pricing a US CLO that complied with European risk retention rules, in what was believed to be one of the first deals of its kind

UK funds brace themselves against value-for-money ruling
The UK’s Financial Conduct Authority (FCA) has published its final set of fund governance rules that aim to strengthen the duty of authorised fund managers to their investors.

They said it: regulators are using The Big Short as their frame of reference
The LMA’s Nicholas Voisey describes why it’s difficult to campaign for the European loan market

Ireland follows Luxembourg and relaxes loan fund rules
The Central Bank of Ireland is now permitting LQIAIFs to engage in broader credit-focused strategies - which opens the door for direct lenders 

Past returns: Europe's own risk retention rewrite
Five years ago we reported that European CLO managers were hunting for partners to retain risk retention on their behalf. Shortly after, regulators performed a U-turn (nothing new here) and decided to prohibit third parties from acting as risk retainers

London manager shutters emerging market fund amid "regulatory headwinds"
London-based Insparo Asset Management is shutting down its emerging market debt funds, the company confirms

Pimco interval fund seeks SEC order allowing it to issue further share classes
The Pimco Flexible Credit Income Fund has sought permission from the SEC to issue further classes of shares

EBA provides clarity on risk retention under STS regime
The European Banking Authority has laid out guidance for risk retention, which provides details on the transfer of risk retenton from one entity to another and what qualifies as a CLO originator

European CLO managers aim for ‘full compliance’
November has seen an increase in new European CLOs complying with US risk retention rules, with at least five ‘fully compliant’ CLOs pricing

Direct lending managers flock to unregulated fund structures
Direct lending managers are seeing the benefits of using unregulated fund structures

CLO managers brace for impact as securitisation regulatory changes pass
A new securitisation regime has passed the European Parliament – and it imposes onerous requirements on CLO managers, according to capital markets lawyer David Quirolo

Direct lenders eye opportunities in Germany’s lower mid market
Direct lending in Germany may be about to flourish, with regulatory changes encouraging fund managers to step into what had been considered an over-banked market

Help us to re-write the Volcker rule, says US bank regulator
OCC gives first indication that regulators may be willing to exclude CLOs from the definition of “covered funds”

Regulators delay implementation of STS rules
Regulators in Europe have opted to take a slow and steady approach to implementing new simple, transparent and standardised (STS) and revamped risk retention rules.

US Treasury proposals could breathe new life into CLO market-making
The US Treasury Department yesterday proposed a dramatic paring back of the Dodd-Frank Act, but made no mention of changing the risk retention rules in relation to CLOs

Market participants strike bullish tone on STS regulation
IMN’s Global ABS Conference in Barcelona came to a close yesterday and one of the main talking points for the ABS market was the successful resolution to disputes between the market and the European parliament over STS (simple, transparent and standardised) legislation

Europe drops plans for tougher risk retention rules
The European Union has pulled back from plans that would have made it much harder to structure CLOs

Euro loan managers breathe easy as ECB adopts US-style lending guidelines
The ECB has, to some extent, relented and provided loan market participants with a greater degree of flexibility after this morning posting the final guidance for leveraged lending in Europe

ECB's crackdown on leveraged lending clears the way for direct lenders
Regulator's plans to limit debt to ebitda ratios in loan transactions could drive traffic out of the capital markets and towards lending funds