Blackstone and Carlyle Are Buying CLOs as UK Pensions Sell
- Oak Hill, Eagle Point, and Beach Point have also been buying
- Supply and demand are more or less matched, prices are stable
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UK pension funds have boosted their selling of collateralized loan obligations again to meet margin calls, and firms including Blackstone Inc. and Carlyle Group Inc. have been buying in recent weeks, according to people with knowledge of the matter.
Demand from money managers has been enough to keep prices essentially unchanged from late last week, but lower than when the pensions first started selling in September, the people said. European CLOs rated AAA are trading at 93 to 95 cents on the euro, close to their Friday levels, and lowball bids are being rejected, the people said, asking not to be identified commenting on private trades.