BlackRock co-head of direct lending set to depart
The co-head of direct lending at BlackRock and Tennenbaum Capital Partner’s special situations unit is set to leave the firm by the end of the year

CLO pipeline: fixed income giants plan debut 2.0s with Morgan Stanley
Two large fixed income managers are pre-marketing debut 2.0 CLOs

BlackRock cuts CLO double A coupon with fixed-rate refi
BlackRock has priced a fixed-rate CLO tranche refinancing, teaming up with Mizuho to cut the coupon on the double A notes of Magnetite XII

LP round up: $5 billion flows to credit as private market allocations increase
Global institutional investors allocated nearly $5 billion to credit funds this week, according to documents seen by Creditflux

BlackRock prices tightest post-covid CLO by far
BlackRock has priced a new issue CLO named Magnetite XXVIII via Barclays, scoring by far the tightest post-covid debt execution

CLO pipeline: managers large, small and new ready to price in post-Labour Day surge
US managers are preparing a wave of new issue CLOs in the coming days, as the usual post-Labour Day pricing surge comes to fruition even in this most unusual of years

Fund performance: Almost a third of credit funds reach positive YTD returns
July has been a successful month for many credit funds, despite the recovery peaking in May and June

Global CLO b-wic round-up: US CLO triple As finally rally while European investors go ‘all in’
A huge supply of $731 million of US CLO triple A bonds pushed US CLO secondary volumes to just shy of $1.5 billion last week

Spreads tighten as GoldenTree and BlackRock print tightest CLO triple As since March
The CLO market moved tighter on Friday as GoldenTree Loan Management and BlackRock each priced new issues with triple As at 155 basis points over Libor, scoring a new record print following the coronavirus sell off in March

Loan slump brings managers closer
A 19% slide in new US loan volumes last year has left CLO managers with fewer options in the primary market, and portfolio overlap between US managers has increased to 35.3% on average

Primary equity investor shortage fuels issuance fear
A lack of demand for primary equity could lead to a drought of new CLO issuance in the second part of this year

Loan slump brings managers closer

LP round up: horseshoe does the trick for Pimco and other distressed managers
Institutional investors poured $2.7 billion into credit this week through 14 managers, according to board documentation seen by Creditflux

Onex prices second US new issue CLO in three weeks
Onex Credit Partners priced its second new issue US CLO in just three weeks yesterday, via Natixis, to become the fourth US CLO manager to price two new issue CLOs during the covid-19 pandemic

Mezzanine CLO spreads tighten with BlackRock US deal
BlackRock has priced a $397.7 million new CLO via Goldman Sachs, acheiving a 175 basis points print on its tightest triple As, according to market sources

CLO pipeline: Apollo targets fourth deal as managers line up to break 2020 ducks
Six CLO managers, five in the US and Fair Oaks Capital in Europe, are showcasing their first new issues of the year in preparation for pricing later this month. And Apollo Global Management is marketing its fourth new issue CLO (third US new issue CLO) in the last month and a half

Three-year US CLOs set to tighten as large managers market deals
US CLO triple A spreads are tightening sharply this week with market sources indicating that benchmark levels for three-year reinvestment deals have gone into the 180s

Fitch places five BDCs on negative outlook
Fitch Ratings has changed the outlooks of five business development companies from stable to negative folllowing a review of its rated BDCs

We’ve survived before, we can do so again

Credit funds at a glance

A round-up of fundraising and people moves in credit

We’ve survived before, we can do so again
$7.8 billion of CLO collateral, split evenly between the US and Europe, is in the loans that have fallen fastest in the past month. But short term CLO pain will bring opportunities for building par

Making arb work of it

Dispersion tests hedge fund managers

Real assets are now the top picks in private credit
Direct lending is no longer the darling of the private credit market, with pension funds increasingly making space for credit strategies backed by real assets.

Making arb work of it
In 2019, some CLO managers hoped that good timing would enable them to lock in favourable arbitrage levels, but others opted for aggressive or conservative tactics when building portfolios.