Please find attached our latest Appleby report which provides data, insight and analysis on the global Collateralised Loan Obligation (CLO) market.
There are a number of key themes that emerge from the statistics:
- 98 CLOs closed in the first half of 2013, compared to 78 in the preceding six months, and a massive 151% increase on the 39 closed in the same six months in 2012.
- There was US$47bn of issuance in the first six months of 2013 alone, making it the biggest half year in CLO's/CDO's ever. This showed a continued growth in the market from the end of 2012, but also reflected the new FDIC deposit insurance rules that came into effect on 1 April 2013, which compressed deals into the first quarter of the year.
- Average deal size grew by 4% (US$20m) between the last six months of 2012 and the first six months of 2013.
- The top ten deals by value for the first half of 2013 represented 16% of the value for all deals during the period. Average deal size for this group increased by US$40m over the preceding period, and a significant US$175m over the same period in 2012.
- Spreads on AAA's for the quality issuers have narrowed from around 140 at the end of 2012 to nearer 115 in June 2013.
- A core set of Arrangers are dominating the CLO market, with Citigroup leading the ranking for the period January - June 2013.
Please click here to read the report.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
