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 so far.
Since 2020, the asset supervisor has greater than doubled its different credit score belongings beneath administration, comprising non-public credit score, non-public asset-backed finance, CLO liabilities and CLO belongings beneath administration.
Learn extra: Nippon Life commits $3.25bn to TCW Different Credit score Methods
TCW manages round $6bn of CLO belongings. The agency mentioned that it had robust CLO exercise final yr, that included three new subject CLO closings, two resets and two refinancings.
Within the first quarter of 2025, TCW has continued this exercise with immediately’s introduced new subject in addition to two resets and one refinancing.
Learn extra: TCW Group closes third CLO of the yr with $400m
“As we proceed to spend money on our CLO platform and credit score alternate options extra broadly, we’re seeing ongoing progress in our shopper base globally,” mentioned Jerry Cudzil, mounted earnings generalist portfolio supervisor. “TCW immediately has a strong lineup of different merchandise and we stay centered on increasing our suite of different credit score options for the good thing about our purchasers.”
Final yr, TCW additionally launched a devoted CLO exchange-traded fund, the TCW AAA CLO ETF, that gives traders the chance to spend money on AAA CLOs by an ETF.
“Following on a robust 2024, we anticipate continued progress in our CLO platform this yr and past,” mentioned Drew Sweeney, senior portfolio supervisor. “We’re grateful for the arrogance traders 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
