Daily Archives: October 12, 2017

Treasury flexibility on CLO risk retention welcomed

A new Treasury report on capital markets includes a qualified risk-retention exemption for the Collateralized Loan Obligation market that’s winning plaudits from managers. The exemption appears to respond to industry arguments that requiring fund managers to hold 5% of their deals isn’t fair as it imposes the same restraint on CLO funds as those applied to other products implicated in the financial crisis.