Why Europe still awaits a private credit CLO

Tricky questions face managers that plan to launch the structure on the continent

In the years after the 2008 financial crisis, alternative asset managers muscled in on the traditional bank-borrower relationship. Lending directly to companies was not new, but low interest rates supercharged the practice. 

And before long those managers – in the US, at least – had also conjured up another way to generate fees and appeal to a wider range of investors. Drawing inspiration from practices in the broadly syndicated loan market, managers started to bundle portfolios of private debt