Natixis AM plans further CLO launches after €300m success

Professional investors have channelled just over €308 million into a structured debt product in a move that is said to reflect how investment firms are demanding solutions that help them cope with regulatory capital requirements.

Natixis, the French bank, raised the €308.4 million for the collateralised loan obligation (CLO) called Purple Finance CLO 1, which is to be managed by Natixis Asset Management.

The bank said professional investors were “revisiting” these vehicles – a type of structured debt instrument strongly identified with the financial crisis – to manage credit risk as well as pursue yield at a time when Europe’s Capital Requirements Directive IV – in force since 2013 – is “creating a real challenge for investment managers” who are subject to its “hefty” capital requirements.

Purple Finance CLO 1, which was oversubscribed in most of its tranches, complies with certain rules in the directive to do with risk.

Ibrahima Kobar, deputy chief executive officer of Natixis AM, said the firm intended to launch one CLO a year and was considering expanding into the US market.

©2018 funds europe

HAVE YOU READ?

THOUGHT LEADERSHIP

The tension between urgency and inaction will continue to influence sustainability discussions in 2024, as reflected in the trends report from S&P Global.
FIND OUT MORE
This white paper outlines key challenges impeding the growth of private markets and explores how technological innovation can provide solutions to unlock access to private market funds for a growing…
DOWNLOAD NOW

CLOUD DATA PLATFORMS

Luxembourg is one of the world’s premiere centres for cross-border distribution of investment funds. Read our special regional coverage, coinciding with the annual ALFI European Asset Management Conference.
READ MORE

PRIVATE MARKETS FUND ADMIN REPORT

Private_Markets_Fund_Admin_Report

LATEST PODCAST