Market Commentaries
select * from bbg_commentary where 1=1 order by date desc
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14 January 2025
USD CLO AAA
$112m of flow today across the stack, spreads are stable dod. US LSTA 100 Index +4bp dod. AAA trade 96dm-166dm with benchmarks 132dm-136dm (AAA Index 129dm).
USD CLO Mezz/Equity
Few benchmarks trade in AA, BBB and BB bonds today, most of the flow in BB with a trading range 609dm - 808dm with virtually all profiles post reinvestment, no change in index levels.
EUR AAA CLO
Recently issued PRVD 2X ARR traded well at 100.18 / 110 dm.
EUR MEZZ/EQUITY CLO
AA’s flat at around 227 dm in secondary today.
Single A’s at 305 dm.
Two premium priced BBs at very spreads. Both traded with 102 handle, either side of 650 dm.
BABSE 2023-2X F trades at 102.05 / 888 dm.
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13 January 2025
USD CLO AAA
$78m of flow today with a softer tone, US LSTA 100 Index -3 bp. 1 x AAA trade ARES 2017-43A A1R2 trades 127dm / 6.7y WAL (AAA Index 128dm).
USD CLO Mezz/Equity
Mezz has a softer feel especially higher rated mezz. AA Index shifts wider to 192dm (+5dm), A Index shifts wider to 228dm (+7dm), BBB Index is 321dm (+3dm) and BB Index 626dm (+2dm) with only a few benchmarks trading.
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10 January 2025
USD CLO Mezz/Equity
$10m of BBB flow only today, US LSTA 100 Index flat dod. BBB BSL bonds are all high coupon profiles trading 378dm-506dm with BBB Index 318dm, 1 x MM CLO BBB trades MCMML 2021-2A D from Monroe covers 100.29 at 410dm / 5.25y WAL.
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9 January 2025
USD CLO Mezz/Equity
Only $14.5m of flow in mezz bonds today, US LSTA 100 Index +4bp dod. AAs trade 175dm-195dm with benchmarks 185dm-195dm (AA Index 187dm).
EUR AAA CLO
AAAs are unchanged in secondary with trading in the +123 area.
EUR MEZZ/EQUITY CLO
AA’s trading around 171 dm in secondary today.
BBB’s unchanged at around 283 dm.
HAYEM 5X ER (BB) traded weaker than our models predicted at 705 dm. It does have a low MVOC but it has a high margin.
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8 January 2025
USD CLO AAA
$134m of flow mostly in high grade today, US LSTA 100 Index +20bp on last CLO trading day 1/3. AAA trade 96dm-153dm with benchmarks around 128dm which is where our AAA Index is.
USD CLO Mezz/Equity
3 x BB trade 625dm-719dm with one benchmark NEUB 2021-44A E cover 100.32 at 625dm / 6.6y WAL - Neuberger managed, MVOC 106.6, coupon +600bps and EoRP 2026 with clean credit / benchmark manager, our BB Index is 624dm.
EUR AAA CLO
AAAs look softer today in secondary with trading in the +155 area.
EUR MEZZ/EQUITY CLO
BBs look wider on the day especially INVSC 7A E which traded at 97.78 / 668 dm.
By contrast single B’s traded well, all above par, at spreads around 617 dm.
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7 January 2025
EUR AAA CLO
EUR AAAs have opened the year steady with trading in the +122 area.
EUR MEZZ/EQUITY CLO
ALBAC 1X DR (BBB) traded at 328 dm.
NEUBE 2021-2X SUB traded at 13% yield.
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3 January 2025
USD CLO AAA
US LSTA 100 Index +9bp from year end with very little flow in CLO tranches, 2 x post reinvestment AAAs trade today, AAA Index 129dm.
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17 December 2024
EUR MEZZ/EQUITY CLO
There is still a decent amount of activity in European BWICs. Spreads are range bound with AAA around 101 dm, A at 203 dm, BBB at 363 dm and BB at 714 dm.
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13 December 2024
EUR AAA CLO
AAAs are steady with trading in the +120 area.
EUR MEZZ/EQUITY CLO
One BB, FRNPK 1A E, traded at 637 dm.
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12 December 2024
EUR AAA CLO
AAAs have traded well today with a strong bid for short duration. The average spread is +116.
EUR MEZZ/EQUITY CLO
AAs haven’t moved, at around 206 dm. HARVT 16A B1RR, a seasoned, short, discount bond traded tight at 130 dm.
BBBs have tightened to an average spread today of 418 dm. This looks about 10 to 20 bps tighter to us.
BBs traded around 624 dm.
Recently issued SHCLO 3A SUB traded at 95.63 / 18% yield.
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11 December 2024
EUR MEZZ/EQUITY CLO
A lot of BBs traded. Looks like quite tight levels. The average spread is 559 dm.
EGLXY 2018-6X F (B) traded at 579 dm, also a tight level in our opinion.
There are three equity trades. ANCHE 3X SUB traded at NAV. The other two traded at around 18% yield on DCFs.
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5 December 2024
EUR AAA CLO
AAAs still static. Spreads today around 122 dm.
EUR MEZZ/EQUITY CLO
Just a couple of AA trades, moving sideways at around 216 dm on the day.
BBs traded well at around 603 dm.
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4 December 2024
EUR AAA CLO
AAAs still static. Spreads today around 139 dm.
EUR MEZZ/EQUITY CLO
Just a couple of AA trades and they do look a few bps wider. Spreads are bifurcated between a short low margin bond and a long high margin one.
Two recent issue single A’s have traded with a high refi likelihood, at around 401 dm.
BBBs have traded around 460 dm.
NWDSE 2019-19X E (B) traded at 726 dm.
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3 December 2024
EUR AAA CLO
AAAs still static. Spreads today around 121 dm.
EUR MEZZ/EQUITY CLO
Low margin AAs are unchanged at around 124 dm.
Single A’s do look to have tightened by around 6 bps.
A lot of BBs traded but spreads are range-bound at around 642 dm.
MDPKE 14A FR (B) traded at 859 dm.
Two equity pieces traded: BLUME 2021-2A SUB and SNDPE 10X SUB – both at around 11% yield.
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2 December 2024
EUR AAA CLO
AAAs are not moving. Spreads today around 121 dm.
EUR MEZZ/EQUITY CLO
Aas are unchanged at around 182 dm.
CORDA 27X E (BB) traded at 782 dm.
A couple of single B’s traded quite strongly. They have very different margins so their spreads can’t be directly compared but nevertheless, according to our models, these traded around 10 to 20 bps tighter than we predicted.
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27 November 2024
EUR AAA CLO
AAAs look like they could be a few bps wider on the day, trading today at around 129 dm.
EUR MEZZ/EQUITY CLO
AAs are unchanged at around 166 dm.
CONTE 5X C (A) traded at 182 dm.
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26 November 2024
USD CLO AAA
$144m of flow today, US LSTA 100 Index +2bp dod. AAAs trade 101dm-169dm (AAA Index 131dm) with one key benchmark PARPK 2021-1A A cover 100.23 at 132dm / 3.2y WAL (EoRP 2026) - MVOC 156.3, Blackstone managed.USD CLO Mezz/Equity
Key mezz trades at single-B with a trading range 731dm-821dm with benchmarks 819dm-821dm and our single-B Index shifting tighter to 853dm.
EUR AAA CLO
AAAs are unchanged at around 108 dm.
EUR MEZZ/EQUITY CLO
Spreads are very static at the moment.
AAs at 173 dm, A’s at 240 dm, BBBs at 447 dm and BBs at 622 dm.
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25 November 2024
USD CLO AAA
$73m of flow with little movement in CLO spreads, US LSTA 100 Index +19bp on last CLO debt trading day. AAA trade 108dm-134dm with a benchmark trade OCT32 2017-1X A1R3 cover 100.53 at 134dm / 6.2y WAL (EoRP 2029) - Octagon managed.USD CLO Mezz/Equity
BBB non benchmarks trade wide of their index level (322dm) in a 384dm-427dm range.
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22 November 2024
EUR AAA CLO
AAAs are unchanged at around 112 dm.
EUR MEZZ/EQUITY CLO
ANCHE 3X BR (AA) traded at 210 dm.
BOPHO 8X D (BBB) traded at 630 dm because of its very high margin.
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21 November 2024
USD CLO Mezz/Equity
$31m of flow today, little movement in spreads with no benchmarks trading and small ticket trades, US LSTA 100 Index flat dod.
EUR AAA CLO
AAAs steady today at around 109 dm.
EUR MEZZ/EQUITY CLO
AA’s could be a few bps tighter but all the bonds that have traded are in amort so would be tight anyway.
HARVT 19X C (A) traded at 169 dm.
Amortising BBBs traded at 243 dm.
Premium BBs have traded around 549 dm.
SPAUL 8X F (B) traded at 658 dm.
4 equity pieces traded with yields varying from 10% to 14%. The CVC and Blackstone clips have relatively high CCC buckets.
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20 November 2024
USD CLO Mezz/Equity
$73m of flow today in mezz/equity, slight compression in BBB spreads, US LSTA 100 Index +5bp dod. BBB trade 294dm-321dm with benchmarks 314dm-321dm with our BBB Index 322dm, BABSN 2021-1A D covers 100.35 at 314dm / 5.5y WAL (EoRP 2026) with MVOC 109.4, coupon +290bps, ADR 0.8, Barings managed and Jnr OC cushion 3.5.
EUR MEZZ/EQUITY CLO
Spreads aren’t moving at the moment. JUBIL 2023-27X C (A) traded at 289 dm.
BBs traded at around 503 dm.
Single B’s traded around 910 dm.