Palmer Square Arriving in Europe With 3 CLO ETFs
US credit-focused asset manager Palmer Square Capital Management will enter European ETFs with three strategies involving collateralized credit obligations (CLOs).
Mission Woods, Kansas, said it will look to target European institutional investors with a trio of ETFs “in early 2025,” starting with the introduction of the Palmer Square EUR CLO Senior Debt Index ETF.
The firm’s first European launch will provide actively managed exposure to AAA and AA rated CLOs denominated in Euro and USD.
Palmer Square will also launch passive products that will tap into the firm’s expertise in senior tranche CLOs.
The fund promoter currently boasts more than $33 billion in assets under management (AUM), including the $28 million NYSE-listed Palmer Square Credit Opportunities ETF ( PSQO ).
Angie Long, the company’s CIO and portfolio manager, commented: “The launch of these ETFs in Europe underscores our commitment to deliver cutting-edge solutions in complex investment environments around the world.
“Using our proprietary benchmarks trusted by institutions around the world, this new product offers efficient access to a unique and attractive asset class, affirming our commitment to creating value for institutional and professional investors.”
Taylor Moore, managing director and portfolio manager at Palmer Square, added: “Institutional appetite for our own European CLO indices and debt products further underscores the demand for these innovative ETFs.
“Our ability to manage and develop this product entirely in-house ensures operational independence and best-in-class performance.”
The incoming launches follow the arrival of the Janus Henderson Tabula EUR AAA CLO UCITS ETF (JCLO) last week.
Invesco has also asked the Central Bank of Ireland (CBI) to launch a pair of CLO ETFs, after realizing the regulator was about to change its stance on exposure.
This article was originally published ETF Stream by etf.com sister publication.
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