Volta Finance seven yield uplifts (Analyst Interview)

Volta Finance Limited (LON:VTA) is the topic of conversation when Mark Thomas Analyst at Hardman & Co joins DirectorsTalk. Mark talks us through his recent report entitled ‘Volta’s seven yield uplifts’, explains why the company can pay a big dividend because it is in the highest-yielding bits of the CLO market and why he thinks the relative advantage increased sharply in 2020.

Volta Finance Ltd is a closed-ended limited liability company registered in Guernsey under the Companies (Guernsey) Law, 2008 (as amended). The Company is an authorised collective investment scheme in Guernsey, regulated under The Protection of Investors (Bailiwick of Guernsey) Law, 1987.

The Company’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.

Click to view all articles for the EPIC:
Or click to view the full company profile:
Facebook
Twitter
LinkedIn
Hardman & Co

More articles like this

Volta Finance

What benefits do CLO’s offer investors?

In recent years, collateralised loan obligations (CLOs) have become increasingly common in financial markets. Their mix of above-average yield and potential for income has proved attractive in the past.  They are often misunderstood because the principles on which

Volta Finance

High yield shines amid investor shift to private credit

It may be time to revisit high yield. While investors have gravitated toward bank loans and private credit for years, an environment of low default rates, a higher-quality universe and a projected soft landing if a

Volta Finance

Volta Finance Limited declares its quarterly interim dividend

Volta Finance Limited (LON:VTA) has today announced a third interim dividend for the financial year commencing 1 August 2022.  The Company announces that it has declared a quarterly interim dividend of €0.13 per share payable on 12 October 2023

Volta Finance

There’s more to CLOs than rising rates protection

Collateralized loan obligations (CLOs), single securities supported by larger pools of debt, are one of the corners of the fixed income that aren’t as vulnerable to rising interest. This is expecially compared to, say, long-dated Treasurys

Volta Finance

CLOs: Not just for rising rates

CLOs are not just a hedge against rising rates. They also have historically provided higher levels of income for a lower level of risk – making a clear case for a strategic allocation. Investors have poured

Volta Finance

Collateralized Fund Obligations

One of the hottest fund finance trends is an alternative investment vehicle that has become increasingly popular. A close sibling of collateralized debt obligations (“CDOs”), collateralized fund obligations (“CFOs”) are a vehicle for securitizing portfolios of

Volta Finance

US CLOs’ credit profiles resilient

The credit quality of U.S. middle market collateralized loan obligations (CLOs), major sources of debt funding for mid-sized companies, has worsened only slightly even as the overall risk of late payments by these companies has increased,

Volta Finance

A guide to Collateralized Loan Obligations

A collateralized loan obligation (CLO) is a portfolio of predominantly senior secured loans that is securitized and actively managed. Each CLO issues a series of floating rate bonds, along with a first-loss equity tranche. The tranches differ in

Volta Finance

Collateralised Loan Obligations explained

Volta Finance Ltd (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

Volta Finance

The opportunities in CLO investments

Collateralized loan obligations (CLOs) were abandoned after the global financial crisis (GFC) of 2007-2009. Since then, CLOs have made a comeback due to their strong performance during the GFC and beyond. CLO notes issued before the GFC did not have material defaults,

Volta Finance

CLO market set for $20 billion reset spree

A type of refinancing transaction is becoming more popular in the $1.3 trillion market for collateralized loan obligations, a sign the industry is healing as concerns over surging inflation and a potential recession abate. Known as

Volta Finance

Volta Finance declares quarterly interim dividend

Volta Finance Limited (LON:VTA) has announced a second interim dividend for the financial year commencing 1 August 2022.  The Company announces that it has declared a quarterly interim dividend of €0.13 per share payable on 3 August 2023 amounting

Volta Finance

What are the best alternative investments?

Gone are the days when investing was limited to numbers and charts alone. As the stock market has been unsettling for investors over the last year, some have become dissatisfied and want a change. They were

Volta Finance

A guide to Collateralized Loan Obligations

What Is a Collateralized Loan Obligation (CLO)? A collateralized loan obligation (CLO) is a portfolio of predominantly senior secured loans that is securitized and actively managed. Each CLO issues a series of floating rate bonds, along with a

Volta Finance

Unlocking the resilience of CLOs

This article provides an overview of collateralized loan obligations (CLOs) as securitizations backed by diverse portfolios of senior secured leveraged loans, their historical performance and default rates, and how they differ from other securitization vehicles. It

Volta Finance

Differences and opportunities in CLOs

Collateralized Loan Obligations are now an established asset class, but Credit Risk Sharing is perhaps less well understood. We think it’s time for investors to appreciate what both can offer portfolios. Over the past 30 years,