fixed income

April 2, 2025 Introduction: What Are CLOs? Collateralized Loan Obligations (CLOs) are structured financial securities backed primarily by a pool of senior-secured, non-investment-grade corporate loans. Through securitization, these loans are packaged into tranches with varying levels of risk and return and sold to investors. Unlike the infamous CDOs of the 2008 financial crisis, modern CLOs […]

April 2, 2025 Introduction: What Are CLOs? Collateralized Loan Obligations (CLOs) are financial instruments that pool a variety of loans, typically non-investment grade, senior-secured corporate loans, into a single security. This process is known as securitization, which allows these loans to be packaged and sold to investors as marketable securities. CLOs are often used by