CLO Market Rally: Too Far Too Fast?

The transcript discusses the recent market rally, highlighting a 4% increase for the year and strong demand for loans due to limited new issues. It emphasizes quality-driven investments, with double bees and energy sectors performing well. Central banks' policies have pushed investors towards non-investment grade markets, offering compelling returns. The discussion also covers Cielo's debt issuance and its impact on the leveraged loan market, noting the need for improved liability prices. The decline in supply has benefited the market, with crossover buyers playing a key role in driving prices up.

What factors have contributed to the strong demand for loans in the market?

How have energy prices affected the loan market according to the discussion?

What is the significance of the secondary market in the context of loan pricing?

Discuss the implications of central banks' policies on investment strategies in the loan market.

What are the expectations for the new issue calendar in the second half of the year?