12.22.20
A recent research piece by SFA’s Head of Research, Elen Callahan, takes a look at how the pandemic has affected the CLO market. A new GAO report found highest-rated senior tranches of CLOs remained “largely resilient” following the initial COVID-19 shock even as the leveraged loans deteriorated. SFA remains focused on the health of underlying businesses as the pandemic and its effects continue to be felt across the economy, especially sectors hardest hit such as travel, hospitality, food services and entertainment. SFA will also continue to monitor the leveraged loan markets in 2021 and its impact on CLOs.