Staying Buoyant with Floating-Rate Securitized Products
Securitized products provide ample scope for some key elements of relative-value investing and offer varying degrees of credit risk throughout the capital structure.
Jan 1, 2022
4 minutes
The underlying principles of securitized products are quite simple, and offers investors diversification relative to other fixed income sectors.
Securitized products provide ample scope for some key elements of relative-value investing and offer varying degrees of credit risk throughout the capital structure.
A discussion of the ins and outs of securitized products, what opportunities we like and those we don’t, and our current positioning.
As angst rises about asset reflation and potential bubbles, this paper explores how AAA and AA CLO tranches offer investors a compelling safe haven investors.
The underlying principles of securitized products are quite simple, and offers investors diversification relative to other fixed income sectors.
As LIBOR is being phased, PGIM Fixed Income has compiled answers to a wide array of questions related to the LIBOR transition.
* Gross assets under management includes the reinvestment of securities lending proceeds. Assets are based on company estimates, holdings are subject to change (rounded). Values may not sum due to rounding.
** ABS includes auto lease, auto loans, sub-prime auto, credit cards, and ‘other’. ‘Other’ includes consumer related (student loans, RV, timeshare, wireless, unsecured consumer loans), commercial related (equipment, flees, floor plan, small business, SBA), corporate (rental car and railcars), structured settlement and International ABS.
Source: PGIM Fixed Income. Assets as of March 31, 2022. Staffing as of March 31, 2022.