CLO Managers Gear Up to Profit From an Economic Downturn

The video discusses the economic context and the record volumes of CLO debt sold last year. It explains what CLO funds are and how they operate, focusing on the changes in loan rating constraints. The video highlights the market dynamics and risks associated with forced selling, especially in the context of leveraged loans. It concludes with strategies employed by silo managers to avoid being forced sellers in a down market.

What percentage of leveraged loans are currently rated B?

How has the market for leveraged loans changed in recent years?