NAIC CLO Proposal Task Force

The NAIC CLO Proposal Task Force of the Structured Finance Association was created as the principal way for the structured finance industry to collectively respond to the National Association of Insurance Commissioners (NAIC)’s May 2022 proposal to increase the capital requirements for collateralized loan obligations (CLOs) held by insurance companies. The NAIC’s proposal seeks to lower reliance on rating agency ratings by establishing a CLO modeling framework and instead assign NAIC designations. The NAIC CLO Proposal Task Force works to raise ongoing concerns of the industry regarding the proposal’s impact on the CLO market – a foundational component of the global financial system.