Octus, a credit intelligence and data provider, has released its comprehensive recap of the collateralized loan obligation (CLO) market for the first half of 2025. Concurrently, the company introduced its CLO League Tables, providing rankings data for top participants across the U.S. and European markets to enhance market transparency and analytical capabilities.
Hugh Minch, Managing Editor, CLO Insights at Octus, commented on the period: “The first half of 2025 presented a complex and dynamic landscape for the CLO market, highlighted by significant volatility, evolving policy shifts, and strategic global reallocations.” He added that the in-depth analysis offers clarity amidst these challenges, and the CLO League Tables deliver insights into manager and arranger activity.
Key trends identified by Octus data for H1 2025 include market volatility following U.S. tariff announcements in April, which led to a selloff in the leveraged loan market, particularly affecting transportation, home furnishings, and automotive sectors. Although CLO liabilities widened sharply, they largely retraced losses after a tariff pause, creating buying opportunities as spreads reset. Another trend is the global reallocation of capital, with U.S. investors increasingly moving into European CLOs, specifically equity and mezzanine tranches. This shift is influenced by relative value, wider liability spreads, higher modeled equity returns, and perceived macro stability, contributing to expectations of strong issuance through early July. Octus also noted a divergence in fundamentals and pricing, with CLO portfolio revenue growth declining to 4.74% in Q1 U.S. from 6% in Q4 2024, and a slight increase in net leverage in Q1 2025. This highlights the growing importance of manager quality and defensive positioning as idiosyncratic risk rises. Furthermore, surging insurance demand for CLOs was observed, with insurers increasing allocations by $14 billion in the past year, making CLOs over 6% of life insurers’ balance sheets. Demand for AAA and AA-rated tranches is driven by capital efficiency and low duration risk, though proposed NAIC changes could influence future CLO tranche allocations.
Octus has expanded its global CLO team, with eight editorial members now based in London and New York, to solidify its commitment to credit intelligence in the CLO market. Adelene Lee, Executive Editor, Global Credit Initiatives, stated, “Consistent with the company’s strategy to cover all segments of the global credit market, Octus’ dedicated CLO coverage team is now global with eight editorial members based in London and New York. This further highlights the company’s expertise in a very attractive segment of the credit market.” This expansion supports the launch of the comprehensive CLO League Tables, which offer insights into manager performance across U.S. and European markets. The rankings include:
* **Top Global CLO Managers (U.S. and Europe):** Blackstone ($58.88 billion), Apollo [Redding Ridge] ($52.32 billion), Carlyle ($48.64 billion), Golub ($42 billion), BlackRock ($40.71 billion)
* **Top CLO Arranging Banks (Global):** Bank of America ($38.41 billion), Citi ($26.72 billion), BNP Paribas ($25.1 billion), JPMorgan ($24.13 billion), Morgan Stanley ($21.78 billion)
* **Top U.S. BSL CLO Managers:** Blackstone ($39.17 billion), Carlyle ($36.55 billion), Apollo [Redding Ridge] ($31.59 billion), UBS Asset Management ($30.33 billion), CIFC Asset Management ($29.86 billion)
* **Top U.S. Private Credit CLO Managers:** Golub ($29.16 billion), Antares ($13.28 billion), Apollo [Redding Ridge] ($7.76 billion), AllianceBernstein ($7.67 billion), BlackRock ($7.51 billion)
* **Top European CLO Managers:** CVC (€13.46 billion), Blackstone (€11.6 billion), Apollo [Redding Ridge] (€11 billion), KKR (€10.11 billion), BlackRock (€9.93 billion)
* **Top U.S. BSL CLO Arranging Banks:** Bank of America ($32.02 billion), Citi ($18.99 billion), JPMorgan ($14.93 billion), Wells Fargo ($14.32 billion), Morgan Stanley ($13.61 billion)
* **Top U.S. Private Credit CLO Arranging Banks:** Wells Fargo ($5.97 billion), BNP Paribas ($5.34 billion), Societe Generale ($4.06 billion), Deutsche Bank ($3.71 billion), Natixis ($2.89 billion)
* **Top European CLO Arranging Banks:** Jefferies (€7.67 billion), BNP Paribas (€7.15 billion), JPMorgan (€6.31 billion), Bank of America (€5.14 billion), Morgan Stanley (€4.94 billion)
Darren Maharaj, Vice President of Data Strategy and Development, commented on the new rankings: “The introduction of our CLO League Tables is a game-changer for the industry. By providing transparent, data-driven rankings, we are equipping investors with a powerful tool to assess manager quality and strategies, which is more critical than ever given the nuanced market conditions.”
Looking forward, CLO managers anticipate a busy Q3 2025, particularly in Europe, ahead of potential tariff reimplementation. Octus highlights that defensive credit selection, active portfolio management, and structural discipline will remain priorities. CLOs continue to be an essential component in insurance portfolios due to their attractive yield, capital efficiency, and structural protection. Octus will continue to provide visibility into CLO fundamentals, track insurer allocation trends, and support clients with market analytics and portfolio health checks. Octus’s ongoing CLO coverage includes reports like “Portfolio Analytics Wrap: Beyond Fundamentals – What’s Really Driving CLO Pricing.”
Founded in 2013 and formerly known as Reorg, Octus provides credit intelligence and data to buy-side firms, investment banks, law firms, and advisory firms. The company aims to provide insights that support decision-making across financial markets by integrating human expertise with technology, data, and AI tools.
