Cracks Are Forming in CLO Market as ETFs on Record Selling Spree
Signs of worry are emerging in the market for collateralized loan obligations as tariff-fueled volatility sweeps across asset classes.
The $20 billion Janus Henderson AAA CLO ETF (ticker JAAA), which invests in the highest-rated type of bonds known as collateralized loan obligations, saw nearly $600 million of withdrawals on Monday, the biggest single-day outflow since the fund's inception in 2020, according to data compiled by Bloomberg.
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