Insight CLO equity:  not your average class

CLO equity is an interesting asset class with its potential for higher income, structural advantages, and diversification benefits.

Ian Gilbertson, Senior Portfolio Manager and Co Head of US CLOs at Invesco discusses in this video.

• CLO equity represents the subordinated tranche of a CLO structure.
• The global market for CLO equity assets stands at approximately $160 billion, representing around 12% of the $1.3 trillion CLO market. (As of November 2024)
• CLO equity also offers potential structural benefits

Investment risks

The value of investments and any income will fluctuate (this may partly be the result of exchange-rate fluctuations), and investors may not get back the full amount invested.