In this video, Loren Sageser, principal and portfolio specialist at PGIM, addresses some of the biggest misconceptions around collateralised loan obligations (CLOs). He highlights how this long-standing asset class can enhance fixed income portfolios, yet remains unfamiliar to many wealth investors.
Sageser details why high-quality CLOs are a mainstay in institutional portfolios, offering stable income and diversification, and how their growing availability in liquid fund structures is bringing them onto the radar of a broader audience. He also provides a concise overview of risk profiles and the extensive history of CLOs, helping investors separate myth from reality.
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