Private credit CLO issuance hit new highs in 2025. Debut feeders were issued by more managers than ever before. They had demand from insurance companies to thank, as rated paper unlocks more favourable capital treatment than plain LP interests. But risks are emerging. Rising defaults and downgrades ask questions over credit quality. Whilst the presence of asset-based finance collateral, retail investors, new geographies raise new risk profiles all make some managers better positioned than others to navigate the path ahead.
