OXLC - CLOs For Dummies

• Forgive my cheeky title, which applies to the author as much as to many readers. We're all on a learning curve here with more exotic asset classes like CLOs.
• Collateralized Loan Obligations (CLOs) can seem pretty complex, but stripped down to their essentials they are "virtual banks".
• Traditionally CLOs were limited to institutional investors, who viewed them as a way to make "equity returns" from credit-based investments, which are essentially more stable and predictable than stocks.
• Closed-end funds have now made CLOs available to retail investors, but the industry is playing catch-up in making itself as transparent as it needs to be to attract more investors.
• This article won't make anyone an expert, but it's a start in the right direction.

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