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Tuesday, March 29, 2011

S&P: Why CLO Market Performance Continues To Improve

Why CLO Market Performance Continues To Improve (00:08:45 min)

Performance in the collateralized loan obligation (CLO) market continues to improve, as evidenced by several positive factors. Notably, we upgraded over 30% of our CLO book in the last six to nine months. Of the CLO tranches that we rate -- roughly 4,400 -- only a few are rated 'CC' and below, and more upgrades are possible. For 2011, we expect CLO issuance of roughly $15 billion, and possibly $25 billion if significant improvement is sustained. In this podcast, Director Zachary Wolf provides an overview of CLO market activity thus far this year.

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