Results for tag: "Collateralized Loan Obligations"

Collateralized Loan Obligations (CLOs) are a type of credit and loan instrument that are used to pool together multiple loans and other debt instruments into a single security. CLOs are typically issued by banks and other financial institutions and are backed by a pool of assets, such as corporate loans, which are used to generate income for investors. The assets are divided into tranches, with each tranche having a different level of risk and return. The higher the risk, the higher the return. CLOs are typically structured as a trust, with the trust issuing the CLO and the assets held in the trust. The CLO market has grown significantly in recent years, with the market size estimated to be in the hundreds of billions of dollars. CLOs are used by investors to diversify their portfolios and to gain exposure to a wide range of assets. Some of the major players in the CLO market include JPMorgan Chase, Citigroup, Goldman Sachs, Morgan Stanley, and Credit Suisse. Show Less Read more