The TCW Group has closed a $400m (£309m) collateralised mortgage obligation (CLO), because it targets growth of its different credit score enterprise.
TCW CLO 2025-1 is primarily backed by broadly syndicated first-lien loans and is its 14th CLO thus far.
Since 2020, the asset supervisor has greater than doubled its different credit score property underneath administration, comprising personal credit score, personal asset-backed finance, CLO liabilities and CLO property underneath administration.
Learn extra: Nippon Life commits $3.25bn to TCW Different Credit score Methods
TCW manages round $6bn of CLO property. The agency stated that it had robust CLO exercise final 12 months, that included three new concern CLO closings, two resets and two refinancings.
Within the first quarter of 2025, TCW has continued this exercise with in the present day’s introduced new concern in addition to two resets and one refinancing.
Learn extra: TCW Group closes third CLO of the 12 months with $400m
“As we proceed to spend money on our CLO platform and credit score alternate options extra broadly, we’re seeing ongoing development in our consumer base globally,” stated Jerry Cudzil, fastened revenue generalist portfolio supervisor. “TCW in the present day has a sturdy lineup of different merchandise and we stay targeted on increasing our suite of different credit score options for the good thing about our purchasers.”
Final 12 months, TCW additionally launched a devoted CLO exchange-traded fund, the TCW AAA CLO ETF, that gives buyers the chance to spend money on AAA CLOs by means of an ETF.
“Following on a robust 2024, we anticipate continued development in our CLO platform this 12 months and past,” stated Drew Sweeney, senior portfolio supervisor. “We’re grateful for the boldness buyers proceed to put in TCW’s disciplined course of and strategy.”
Jefferies served as placement agent and structuring agent.
Learn extra: TCW launches asset-backed finance enterprise