...Growth in CLO Market: The CLO market continues to show strong growth, with 38 new transactions issued in the 12 months to July 2015. In this period, 10 managers have entered the post-crisis CLO market, easing the burden of risk retention by adding to the pool of available retention capital. Asset Sourcing Increasingly Challenging: Loan supply has been much lower in 2015 (47%) compared to the same period last year. Fitch Ratings estimates total loan issuance of EUR40bn for 2015, down from EUR65bn in 2014. While it is too early to determine if this has had an impact on ramping periods to date, it may lengthen the ramping periods of currently ramping transactions and transactions that close in the near future, as loan supply from the primary market falls. Strong Performance of Post-Crisis CLOs: Losses have remained low, with par built through manager trading typically absorbing any losses experienced to date. Of the 44 post-crisis CLOs rated by Fitch that have gone effective to date, only...
