Leveraged Loans - dead end?

Given that CDO's (CLO) have stagnated, does a career in a fund specialising in Leverage Loans sound like trouble?

Can this experience be transferred to another area should the markets turn for worse? In other words what would the exit ops be?

cheers

5 Comments
 

There are a plethora of distressed debt funds as well as funds that specialize in turnarounds where your knowledge would be of great use regardless of the market conditions...

 
Best Response

pretty sure OP is talking about working in some sort of loan portfolio group

if so, def not a bad place to be...while CLOs have slowed a lot, there is still real money piling into loans in the primary mkt as well as some HFs and tons of activity from HFs and real money in the seconardy...plus with the rise (and in my opinion) continued rise in volume and liquidity of LCDS, loans are not going anywhere and certainly a good skill to have...can easily move to a HF specializing in credit or a loan trading seat at a BB

hope that helps

 

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