15 January 2025

Seeing Beyond the Complexity: A CLO Primer for US Insurers

Authors:
Laila Kollmorgen, CFA

Laila Kollmorgen, CFA

Portfolio Manager, CLO Tranche

Jeannine Heal, CFA

Jeannine Heal, CFA

Head of Insurance Investment Solutions, Americas

Helen Zhou Remeza, PhD

Helen Zhou Remeza, PhD

Head of Insurance Investment Strategies

Seeing Beyond the Complexity: A CLO Primer for US Insurers

US insurers are increasingly allocating to CLOs given their capital efficiency, above-average yield, and potential appreciation – yet some may still be intimidated by CLOs’ complexity.

Our latest primer takes a closer look at CLOs, including their benefits and risks, how they work, and what they can offer insurance investors – and clears up some misconceptions along the way.

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Disclosure

Investing involves risk, including possible loss of principal. The information presented herein is for illustrative purposes only and should not be considered reflective of any particular security, strategy, or investment product. It represents a general assessment of the markets at a specific time and is not a guarantee of future performance results or market movement. This material does not constitute investment, financial, legal, tax, or other advice; investment research or a product of any research department; an offer to sell, or the solicitation of an offer to purchase any security or interest in a fund; or a recommendation for any investment product or strategy. PineBridge Investments is not soliciting or recommending any action based on information in this document. Any opinions, projections, or forward-looking statements expressed herein are solely those of the author, may differ from the views or opinions expressed by other areas of PineBridge Investments, and are only for general informational purposes as of the date indicated. Views may be based on third-party data that has not been independently verified. PineBridge Investments does not approve of or endorse any republication of this material. You are solely responsible for deciding whether any investment product or strategy is appropriate for you based upon your investment goals, financial situation and tolerance for risk.

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