Keynote: Macroeconomic impact on global CLO markets – Structural shifts or continued resilience?

Transmission Mechanisms from Private Credit to Syndicated Markets

Two key transmission mechanisms from private credit stress to the broadly syndicated loan market are identified: the reduced shock-absorbing capacity of direct lending during market dislocations, and the potential for semi-liquid funds to sell liquid collateral to meet redemptions. While neither mechanism is yet causing visible stress in BSL markets, the structural linkages are real and warrant monitoring.

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