Tiering, Dispersion and the Case for Secondary Over Primary

Michael Htun and other panellists discuss how the performing part of the loan market remains resilient due to strong CLO formation technicals, while a growing tail of problem credits in sectors like software, chemicals and consumer is driving spread decompression and tiering. The panel explores why secondary CLO investing is increasingly attractive relative to primary, highlighting the ability to analyse fully constructed portfolios, capture convexity, and manage duration — particularly in volatile conditions.