Many of the biggest whales in collateralized loan obligations are returning to the $900 billion market after spending much of last year on the sidelines, a shift that could make one of Wall Street’s biggest credit machines run even hotter.
Japan’s Norinchukin Bank, formerly the biggest buyer in the CLO market, has begun looking at deals again, according to people with knowledge of the matter. Wells Fargo & Co., absent for much of 2020, is back. Fidelity Investments has already upped its holdings in pursuit of higher yields. And Bank of America Corp., previously just an occasional buyer in the market, has purchased billions of dollars of the bonds and plans to add more.
Volta Finance Limited (LON:VTA) is a closed-ended limited liability company registered in Guernsey. Volta’s investment objectives are to seek to preserve capital across the credit cycle and to provide a stable stream of income to its Shareholders through dividends that it expects to distribute on a quarterly basis.