Software sell-off leads to improved CLO equity arb – BNPP
BNP Paribas is currently bullish on H2 2024 CLO equity in the US, largely due to its low NAV and low software exposure

Early 2026 US CLO equity data does not point to improved performance over 2025 – Deutsche Bank
The median quarterly distribution for US CLO equity in 1Q across all deals reporting fell to 2.4%, the lowest number in three years and the seventh consecutive quarterly decline, according to new research from the bank

Software selloff hits CLO equity, BB MVOCs – Barclays
The percentage of US loans trading above par has tumbled to 27%, introducing mark-to-market risk for CLO tranche investors

Credit risk lingers in junior European CLO notes outside reinvestment – Fitch Ratings
Under the assumptions of the stress test, 83% of double B and single B rated tranches in transactions past their reinvestment expiry show model-implied ratings below their current ratings

CLO equity payments decline for US and Europe
Reinvesting US BSL CLOs saw median equity payments slip 16bps from the fourth quarter of 2025

European BSL market upped risk to win deals in 2025 – White & Case
The BSL market issued a higher percentage of loans rated below BB against a backdrop of patchy M&A flow

Private credit investors chase higher risk-return—Campbell Lutyens
A new survey shows investors are seeking higher returning strategies amid expectations of lower rates, while also turning away from the dominant North American market

SEC clarification encourages banks to invest in CLOs
ANALYSIS: US banks could comprise a larger portion of triple-A tranche demand in both the US and European CLO markets and help bring stability

TwentyFour AM favours European CLO equity going into 2026
In comparison, US CLO equity faces more challenges related to LMEs and refinancing activity, the asset manager said

North American and European credit defaults to fall next year – S&P Global
Global credit default rates will remain contained next year with North American defaults falling to around 4% 

CLO issuance projected to hit new records in 2026 – KBRA
The ratings agency projects USD 220bn in issuance across US BSL CLOs and private credit CLOs as well as five to six European private credit CLOs next year

Record gross supply but meagre risk/reward ratio for CLOs next year, says JPMorgan in 2026 outlook
The bank is forecasting a new record gross supply figure of half a trillion dollars next year for the US CLO market, but that headline figure belies the ‘recycled’ nature of much of the supply, with new origination expected to decline by around 20%

US life insurers increase commitments to CLOs and private credit – Fitch

Alt IM-backed life insurers in the US are increasing their allocations to CLOs and private credit in the search for higher yield

European speculative-grade corporate default rates to decline in 2026 – Moody’s
The rating agency’s annual deep-dive into the refinancing risks facing EMEA non-financial corporates also found an increased urgency for refinancing as the maturity wall draws closer

BDC stock sell off could impact CLO BBs – BofA

BofA Securities warned of the possibility of a tactical sell off in CLO BBs in response to the BDC stock sell off

Private credit adds 2% additional yield for North American insurers
S&P Global predicts growth in insurance allocations towards private credit as the asset class delivers extra yield

Rise in BBB fixed-rate CLO tranches in US overtake AAs—Barclays
CLOs tend to prefer floating rate assets, but the percentage of fixed-rate BBBs have ticked up since January 2024

UK and France dominate European CLO collateral – Fitch Ratings
One-third of the collateral behind European CLOs is issued by UK and French companies, as Fitch warns of French downgrade risk

Originator “fix” notices soar following risk retention update – Deutsche Bank
Deutsche Bank reports a surge in “fix” notices following 8 August EBA risk retention update

European BB CLO tranches most susceptible to downgrade – S&P Global
Triple-A tranches demonstrate “significant stability,” according to the ratings agency

Credit quality of European CLOs improved since start of year – Fitch
A new report from Fitch Ratings points toward higher quality CLO portfolio credit in the year to date, despite a lower default recovery rate

Upgrades outpace downgrades in triple C tranches of CLOs in July – BofA
Despite July's reversal, the pace of triple C downgrades remains significant, BofA said, and is expected to reach 8% for triple Cs

Private debt market fundraising shows shift to Europe – Goldman Sachs
Private credit market fundraising has been pivoting to Europe, while global defaults remain below historical averages, according to new research from Goldman Sachs

US CLO spreads to widen as uncertainty and tariffs bite – JPMorgan
Higher US tariff levels may lead to CLO spreads widening and pressure US CLO market growth, but new origination has been more resilient than expected, according to JPMorgan analysts in their mid-year CLO outlook report

Mid-market CLO rally unlikely to endure — S&P Global
The positive start to the year has been undercut by uncertainty stemming from the Trump administration’s new tariff regime