TCW Continues Momentum in Alternative Credit With Close of $400 Million CLO
TCW Group has announced the closure of TCW CLO 2025-1, a $400 million collateralized loan obligation fund focused on broadly syndicated first-lien loans. This marks TCW's 14th CLO, highlighting the firm's expansion in alternative credit. Since 2020, TCW has doubled its alternative credit assets under management.
Throughout 2024, TCW demonstrated strong CLO activity with three new issue CLO closings, two resets, and two refinancings. In Q1 2025, the company has already completed two resets and one refinancing, alongside this new issue. TCW currently manages approximately $6 billion of dedicated CLO assets.
Notable developments include the launch of the TCW AAA CLO ETF (ACLO), providing investors access to AAA CLOs through an ETF structure. The latest CLO closing was facilitated by Jefferies as placement and structuring agent.
Il Gruppo TCW ha annunciato la chiusura di TCW CLO 2025-1, un fondo di 400 milioni di dollari focalizzato su prestiti di primo grado ampiamente sindacati. Questo segna il 14° CLO di TCW, evidenziando l'espansione dell'azienda nel credito alternativo. Dal 2020, TCW ha raddoppiato i suoi attivi nel credito alternativo.
Durante il 2024, TCW ha dimostrato una forte attività nei CLO con tre nuove chiusure di CLO, due reset e due rifinanziamenti. Nel primo trimestre del 2025, l'azienda ha già completato due reset e un rifinanziamento, insieme a questa nuova emissione. Attualmente, TCW gestisce circa 6 miliardi di dollari di attivi dedicati ai CLO.
Sviluppi notevoli includono il lancio del TCW AAA CLO ETF (ACLO), che offre agli investitori accesso agli CLO AAA attraverso una struttura ETF. L'ultima chiusura di CLO è stata facilitata da Jefferies come agente di collocamento e strutturazione.
TCW Group ha anunciado el cierre de TCW CLO 2025-1, un fondo de 400 millones de dólares enfocado en préstamos de primer grado ampliamente sindicados. Esto marca el 14° CLO de TCW, destacando la expansión de la firma en el crédito alternativo. Desde 2020, TCW ha duplicado sus activos de crédito alternativo.
A lo largo de 2024, TCW demostró una fuerte actividad de CLO con tres nuevos cierres de CLO, dos resets y dos refinanciamientos. En el primer trimestre de 2025, la compañía ya ha completado dos resets y un refinanciamiento, junto con esta nueva emisión. Actualmente, TCW gestiona aproximadamente 6 mil millones de dólares en activos dedicados a CLO.
Desarrollos notables incluyen el lanzamiento del TCW AAA CLO ETF (ACLO), que proporciona a los inversores acceso a CLOs AAA a través de una estructura ETF. El último cierre de CLO fue facilitado por Jefferies como agente de colocación y estructuración.
TCW 그룹은 TCW CLO 2025-1의 종료를 발표했습니다. 이는 4억 달러 규모의 담보부 대출 의무 펀드로, 광범위하게 배급된 1순위 대출에 집중하고 있습니다. 이는 TCW의 14번째 CLO로, 대체 신용 분야에서의 회사의 확장을 강조합니다. 2020년 이후 TCW는 대체 신용 자산을 두 배로 늘렸습니다.
2024년 동안 TCW는 새로운 CLO 발행 3건, 리셋 2건, 재융자 2건으로 강력한 CLO 활동을 보였습니다. 2025년 1분기에는 이 새로운 발행과 함께 이미 두 건의 리셋과 한 건의 재융자를 완료했습니다. TCW는 현재 약 60억 달러의 전용 CLO 자산을 관리하고 있습니다.
주목할 만한 발전으로는 TCW AAA CLO ETF (ACLO)의 출시가 있으며, 이는 투자자에게 ETF 구조를 통해 AAA CLO에 접근할 수 있는 기회를 제공합니다. 마지막 CLO 종료는 Jefferies가 배치 및 구조화 에이전트로서 지원했습니다.
Le Groupe TCW a annoncé la fermeture de TCW CLO 2025-1, un fonds de 400 millions de dollars axé sur des prêts de premier rang largement syndiqués. Cela marque le 14ème CLO de TCW, mettant en évidence l'expansion de la société dans le crédit alternatif. Depuis 2020, TCW a doublé ses actifs en crédit alternatif.
Tout au long de 2024, TCW a démontré une forte activité CLO avec trois nouvelles clôtures de CLO, deux resets et deux refinancements. Au premier trimestre 2025, la société a déjà complété deux resets et un refinancement, en plus de cette nouvelle émission. Actuellement, TCW gère environ 6 milliards de dollars d'actifs CLO dédiés.
Les développements notables incluent le lancement du TCW AAA CLO ETF (ACLO), offrant aux investisseurs un accès aux CLO AAA via une structure ETF. La dernière clôture de CLO a été facilitée par Jefferies en tant qu'agent de placement et de structuration.
Die TCW Group hat die Schließung von TCW CLO 2025-1 bekannt gegeben, einem 400 Millionen Dollar schweren Collateralized Loan Obligation Fonds, der sich auf breit syndizierte Ersthypothekendarlehen konzentriert. Dies markiert den 14. CLO von TCW und hebt die Expansion der Firma im Bereich alternativer Kredite hervor. Seit 2020 hat TCW seine alternativen Kreditvermögen verdoppelt.
Im Jahr 2024 zeigte TCW eine starke CLO-Aktivität mit drei neuen CLO-Schließungen, zwei Resets und zwei Refinanzierungen. Im ersten Quartal 2025 hat das Unternehmen bereits zwei Resets und eine Refinanzierung abgeschlossen, zusammen mit dieser neuen Emission. Derzeit verwaltet TCW etwa 6 Milliarden Dollar an dedizierten CLO-Vermögen.
Bemerkenswerte Entwicklungen umfassen die Einführung des TCW AAA CLO ETF (ACLO), der Investoren den Zugang zu AAA CLOs über eine ETF-Struktur ermöglicht. Der letzte CLO-Abschluss wurde von Jefferies als Platzierungs- und Strukturierungsagent unterstützt.
- Successful closure of $400 million CLO fund
- Doubled alternative credit AUM since 2020
- Managing $6 billion in dedicated CLO assets
- Strong CLO activity with multiple closings, resets, and refinancings
- Expansion of product offerings with new ACLO ETF
- None.
Insights
TCW's closure of a
The firm's 2024-2025 CLO activity shows impressive momentum - three new issues, two resets, and two refinancings last year, followed by this new issuance plus two resets and one refinancing already in Q1 2025. This activity level reflects both investor demand and TCW's ability to source appropriate collateral in the leveraged loan market.
For context, this deal size aligns with current market standards, as most broadly syndicated CLOs typically range from
For the ACLO ETF specifically, the parent company's expanding CLO footprint could potentially translate to improved market intelligence and trading capabilities, though the direct performance impact remains unclear without details on fee structures or management resource allocation.
TCW's launch of ACLO last year represented their strategic move to democratize access to AAA-rated CLO tranches through the ETF wrapper. While this
ACLO enables retail and institutional investors to access the typically institutional-only CLO market with greater liquidity and smaller position sizes than traditional CLO investments require. The ETF's focus on AAA-rated tranches indicates a conservative approach, targeting the safest segment of the CLO capital structure with historically minimal default risk.
For ACLO investors, TCW's continued CLO market expansion potentially strengthens the management team's market positioning, deal flow access, and credit selection capabilities. However, this doesn't necessarily translate to superior ETF performance, as ACLO's returns will ultimately depend on specific tranche selection, fee levels, and market conditions for AAA CLO paper.
The ETF structure offers advantages over direct CLO investment including daily liquidity, transparent pricing, and operational simplicity. However, investors should recognize that even AAA-rated CLO tranches carry complex risk factors including correlation risk, extension risk, and call protection variables that differ from traditional fixed income.
While TCW's growing CLO franchise demonstrates commitment to this asset class, ACLO investors should evaluate the ETF based on its specific strategy, performance track record, expense ratio, and liquidity profile rather than the broader CLO business developments announced here.
Firm Has More Than Doubled Alternative Credit Assets Since 2020
Since 2020, TCW has more than doubled its alternative credit assets under management (AUM). TCW manages alternative credit across private credit, private asset-backed finance, CLO liabilities and CLO assets under management. During 2024, TCW had strong CLO activity that included three new issue CLO closings, two resets and two refinancings. In the first quarter of 2025, TCW has continued this activity with today’s announced new issue as well as two resets and one refinancing.
“As we continue to invest in our CLO platform and credit alternatives more broadly, we are seeing ongoing growth in our client base globally,” said Jerry Cudzil, Fixed Income Generalist Portfolio Manager. “TCW today has a robust lineup of alternative products and we remain focused on expanding our suite of alternative credit solutions for the benefit of our clients.”
TCW today manages approximately
“Following on a strong 2024, we expect continued growth in our CLO platform this year and beyond,” said Drew Sweeney, Senior Portfolio Manager. “We are grateful for the confidence investors continue to place in TCW’s disciplined process and approach.”
Jefferies LLC served as placement agent and structuring agent.
This material is for general information purposes only and does not constitute an offer to sell, or a solicitation of an offer to buy, any security. TCW, its officers, directors, employees, or clients may have positions in securities or investments mentioned in this publication, which positions may change at any time, without notice. While the information and statistical data contained herein are based on sources believed to be reliable, we do not represent that it is accurate and should not be relied on as such or be the basis for an investment decision. The information contained herein may include preliminary information and/or "forward-looking statements." Due to numerous factors, actual events may differ substantially from those presented. TCW assumes no duty to update any forward-looking statements or opinions in this document. Any opinions expressed herein are current only as of the time made and are subject to change without notice. Past performance is no guarantee of future results. © 2025 TCW
Investing involves risk. Principal loss is possible.
Please see the TCW AAA CLO ETF’s Prospectus for more information on risk factors associated with this ETF.
Before investing you should carefully consider the fund’s investment objectives, risks, charges, and expenses. This and other information is in the prospectus, a copy of which may be obtained from etf.tcw.com. Please read the prospectus carefully before you invest.
The TCW AAA CLO ETF is advised by TCW Investment Management Company LLC. Distributed by Foreside Financial Services, LLC.
NOT FDIC INSURED | NO BANK GUARANTEE | MAY LOSE VALUE
About The TCW Group
TCW is a leading global asset management firm with a broad range of products across fixed income, alternative investments, equities, and emerging markets with over half a century of investment experience. Through its ETF suite, TCW MetWest Funds and TCW Funds, TCW manages one of the largest fund complexes in the
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Source: The TCW Group
FAQ
What is the size of TCW's latest CLO fund (TCW CLO 2025-1)?
How much has TCW's alternative credit assets grown since 2020?
What is TCW's current total CLO assets under management?
How many CLO transactions did TCW complete in 2024?
What is the purpose of TCW's new ACLO ETF product?
