Discussion Paper
Who Owns U.S. CLO Securities? An Update by Tranche
DeMarco, Laurie Pounder; Liu, Emily; Schmidt-Eisenlohr, Tim (2020-06-25)
Against the backdrop of the COVID-19 crisis, leveraged loans have deteriorated and concerns about CLOs, the main buyers of loans on the secondary market, have increased. These concerns have reduced the demand for new CLOs, making it harder for firms to borrow through leveraged loans on the primary market, as banks have found it more difficult to sell loans on the secondary market.
FEDS Notes , Paper 2020-06-25