There were increases in CRE and refinance CLO issuance during the second quarter, but the market’s bread-and-butter sectors — BSL and MML — both saw declining production. (Includes two data charts.)

Attractive spreads are drawing investor interest to the CLO market, where strong BSL securitization drove surging issuance. (Includes two data charts.)

Activity in the commercial MBS space will pick up again in the months ahead, said analysts.

There may be a rush to amend CLOs before the June 30 LIBOR transition deadline, according to S&P.

Despite a surge in middle-market CLO issuance in the fourth quarter, total production of structured credit deals drifted lower in late 2022. Blackstone was the most active sponsor, while JPMorgan led in CLO underwriting. (Includes two data charts.)

The proposed rule is meant to prohibit ABS issuers from engaging in “conflicted transactions” that could influence the deal structure in a way that puts their interests ahead of those of investors.

If the Second Circuit reverses a district court ruling and holds that a syndicated term loan is a security, the implications would be immense for banks, CLOs and other parties.

CLO issuance backed by broadly-syndicated loans held fairly steady in the third quarter, but the CRE sector tanked and refi/restructuring fell off the edge of the cliff. (Includes two data charts.)

Stress testing suggests that broadly syndicated loan CLOs are resilient to collateral depreciation, according to Fitch. Though DBRS expects some reduction in credit quality increased defaults.

Private equity investors are turning to collateralized fund obligations, which include some features from the collateralized loan obligation sector. KBRA rated its first CFO last week.