L-shape position trades from manager's 2016 US CLO

By Sayed Kadiri

Several of the debt tranches and a sizeable amount of equity in Zais CLO 5 traded from a b-wic yesterday, in one of the more unusual secondary CLO market trades of recent times.

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TAGS: Zais Secondary market Pricing North America CLO

Comment by: Anonymous. Posted 6 days ago [2017-08-16 12:44:00]

Didn't they signal to the market this was how they were meeting risk retention? Asking for a friend.

Comment by: Anonymous. Posted 11 days ago [2017-08-11 15:20:58]

Right, you wouldn't think the L would have a natural buyer other than the manager. Perhaps the buyer could break this combo note into its components for greater liquidity.