Investment Management

  • Remember the Downside: Rethinking CLO Risk

    Remember the Downside: Rethinking CLO Risk

    CLO tranches are gaining substantial shares in investment portfolios, but their significant downgrade risk is often underestimated. It is therefore critical to implement a more dynamic approach to risk analysis that enables both CLO managers and investors to be prepared for tail risks and unexpected outcomes. As structured products gain a growing share in today’s…