The deal, Dryden 34 Senior Loan Fund, will be backed by a broadly syndicated portfolio of corporate debt only. Both the two-year non-call period and four-year reinvestment period are in line with other recent CLOs on the market.
While the Volcker Rule gets blamed for the sudden lull in CLO issuance in January and February, its now getting some credit for helping one aspect of the roaring comeback of collateralized loan obligations: the infusion of new primary investors in AAA tranches.
Moodys Investors Service has assigned preliminary Aaa ratings to two of the eight tranches issued by Sound Point CLO VI: the $305 million class A-1 notes and the $20 million class A-2 notes
The $500 million Voya CLO 2014-3 features a fixed-rate tranche, creating the potential for interest-rate mismatch, according to Moody's Investors Service.
TPG, with just one other CLO under its belt, is a newbie; Pinebride runs nine other deals rated by Standard & Poor's.
The limited number of buyers able to write big tickets allows them players to dictate terms.
Risk-retention rules could thin the ranks of CLO managers; the industry was hoping for a workaround, but what it got is pretty much unworkable.
The U.S. market for collateralized loan obligations would shrink by 75% if proposed risk-retention rules are implemented, according to the Loan Syndication and Trading Association.
DFG Taps Goldman Vet, Barclays Bulks Up on CMBS, Ares Adds Jeffrey Kramer and the ASF Retains Mike Williams as Policy Adviser
A shift in the leveraged loan market has intensified grumbling among CLO managers about the way Standard & Poors rates the senior tranches of these deals.
Vice President of Regulatory Compliance
Firm: Clayton Holdings
In the news: How Ability-to-Repay Rules Could Reshape RMBS Market
Securitization of very large commercial mortgages is picking up again, and so is the leverage in some of these deals.Current Issue