Nuveen Expands Wealth Alternatives Platform with Launch of CLO Strategies
Nuveen is expanding its alternative investment platform with the launch of a new CLO ETF (NYSE: NCLO) focusing on AA-BBB rated CLO tranches. The ETF aims for high current income and total return, differentiating itself from most CLO ETFs that target triple A-rated CLOs.
Additionally, in Q1 2025, Nuveen plans to convert its CLO Opportunities Fund into the Nuveen Enhanced CLO Income Fund, an interval fund structure investing in debt and equity tranches of CLOs. The company's leveraged finance team manages $43 billion in AUM, with $17.8 billion in the CLO platform.
The company also announced the launch of its Private Markets Institute, providing educational resources and practical support to help advisors better engage with clients on private market investments.
Nuveen sta espandendo la sua piattaforma di investimenti alternativi con il lancio di un nuovo CLO ETF (NYSE: NCLO) che si concentra sui tranches CLO con rating AA-BBB. L'ETF punta a generare un alto reddito attuale e un ritorno totale, differenziandosi dalla maggior parte degli ETF CLO che mirano ai CLO con rating AAA.
Inoltre, nel primo trimestre del 2025, Nuveen prevede di convertire il suo CLO Opportunities Fund nel Nuveen Enhanced CLO Income Fund, una struttura di fondo interinale che investe in tranches di debito ed equity dei CLO. Il team di finanza con leva dell'azienda gestisce 43 miliardi di dollari in AUM, con 17,8 miliardi di dollari nella piattaforma CLO.
L'azienda ha anche annunciato il lancio del suo Private Markets Institute, che fornisce risorse educative e supporto pratico per aiutare i consulenti a coinvolgere meglio i clienti negli investimenti in mercati privati.
Nuveen está expandiendo su plataforma de inversión alternativa con el lanzamiento de un nuevo CLO ETF (NYSE: NCLO) enfocado en tramos de CLO calificados con AA-BBB. El ETF busca un alto ingreso actual y un rendimiento total, diferenciándose de la mayoría de los ETF CLO que se dirigen a CLO calificados con triple A.
Además, en el primer trimestre de 2025, Nuveen planea convertir su CLO Opportunities Fund en el Nuveen Enhanced CLO Income Fund, una estructura de fondo por intervalos que invierte en tramos de deuda y capital de CLO. El equipo de finanzas apalancadas de la compañía gestiona 43 mil millones de dólares en activos bajo gestión, con 17.8 mil millones de dólares en la plataforma CLO.
La empresa también anunció el lanzamiento de su Private Markets Institute, que proporciona recursos educativos y apoyo práctico para ayudar a los asesores a involucrar mejor a los clientes en inversiones de mercados privados.
Nuveen은 AA-BBB 등급의 CLO 트랜치를 대상으로 하는 새로운 CLO ETF (NYSE: NCLO)를 출시하며 대체 투자 플랫폼을 확장하고 있습니다. 이 ETF는 높은 현재 수익과 총 수익을 목표로 하며, AAA 등급의 CLO를 목표로 하는 대부분의 CLO ETF와 차별화를 꾀하고 있습니다.
또한, Nuveen은 2025년 1분기에는 CLO Opportunities Fund를 Nuveen Enhanced CLO Income Fund로 전환할 계획이며, 이 기구는 CLO의 부채 및 자본 트랜치에 투자하는 간격 펀드 구조입니다. 회사의 레버리지 금융 팀은 430억 달러의 자산을 관리하고 있으며, 이 중 178억 달러가 CLO 플랫폼에 있습니다.
회사는 또한 Private Markets Institute의 출범을 발표하였으며, 이 기관은 고객이 개인 시장 투자에 더 잘 참여할 수 있도록 교육 자료와 실무 지원을 제공합니다.
Nuveen élargit sa plateforme d’investissement alternatif avec le lancement d’un nouveau CLO ETF (NYSE: NCLO) axé sur les tranches CLO notées AA-BBB. L'ETF vise un revenu courant élevé et un rendement total, se différenciant de la plupart des ETF CLO qui ciblent les CLO notés triplement A.
De plus, au premier trimestre 2025, Nuveen prévoit de convertir son CLO Opportunities Fund en Nuveen Enhanced CLO Income Fund, une structure de fonds d'intervalle investissant dans les tranches de dette et de capital des CLO. L'équipe financée par effet de levier de l'entreprise gère 43 milliards de dollars d'actifs sous gestion, dont 17,8 milliards de dollars dans la plateforme CLO.
L'entreprise a également annoncé le lancement de son Private Markets Institute, offrant des ressources éducatives et un soutien pratique pour aider les conseillers à mieux interagir avec les clients sur les investissements dans les marchés privés.
Nuveen erweitert seine Plattform für alternative Anlagen mit der Einführung eines neuen CLO ETF (NYSE: NCLO), der sich auf AA-BBB bewertete CLO-Tranchen konzentriert. Der ETF zielt auf hohe laufende Erträge und Gesamtrendite ab und unterscheidet sich von den meisten CLO ETFs, die auf AAA-bewertete CLOs abzielen.
Darüber hinaus plant Nuveen im ersten Quartal 2025 die Umwandlung seines CLO Opportunities Fund in den Nuveen Enhanced CLO Income Fund, eine Intervallfondsstruktur, die in Schuld- und Eigenkapitaltranchen von CLOs investiert. Das gehebelte Finanzierungsteam des Unternehmens verwaltet 43 Milliarden Dollar in AUM, davon 17,8 Milliarden Dollar auf der CLO-Plattform.
Das Unternehmen kündigte außerdem die Einführung seines Private Markets Institute an, das Bildungsressourcen und praktische Unterstützung bietet, um Beratern zu helfen, besser mit Kunden in Bezug auf Investitionen in private Märkte zu interagieren.
- Launch of new CLO ETF targeting AA-BBB rated segment, expanding product offerings
- Substantial CLO platform with $17.8 billion in AUM
- Large leveraged finance team managing $43 billion in total AUM
- Planned conversion of existing fund to interval fund structure, potentially increasing accessibility
- None.
Insights
The launch of Nuveen's CLO ETF targeting single A segment represents a significant expansion in the alternative investment space. With
The planned conversion of their CLO Opportunities Fund to an interval fund structure in Q1 2025 is particularly noteworthy, as it will provide retail investors better access to mezzanine and equity CLO tranches - traditionally institutional-only territory. This democratization of alternative investments, backed by Nuveen's
The introduction of NCLO ETF targeting AA-BBB rated CLOs differentiates it from existing offerings that focus on AAA-rated securities. This strategic positioning in the mid-tier credit spectrum suggests a calculated risk-return trade-off that could attract yield-seeking investors in the current market environment. The interval fund structure for the Enhanced CLO Income Fund addresses liquidity management challenges inherent in CLO investments while providing broader market access.
The launch of the Private Markets Institute demonstrates Nuveen's commitment to advisor education and support, which is important for driving adoption of alternative investments in retail portfolios. This comprehensive approach to product development and distribution support indicates strong potential for asset gathering success.
Nuveen's Private Markets Institute Offers Education and Practice Support to Advisors for Better Client Engagement
The ETF will focus on the single A segment, in contrast to the majority of CLO ETFs currently available, which focus on triple A-rated CLOs, and builds on Nuveen's long-established alternatives platform.
"To complement traditional income portfolios, and with increased awareness of the robust yields and lower historical defaults of CLOs, we're seeing significant demand among our clients for this attractive alternative credit allocation," said Jeff Carlin, Head of Global Wealth Advisory Services at Nuveen.
About the Fund: | |
Name and Ticker: | Nuveen AA-BBB CLO ETF (NYSE: NCLO) |
Investment Objective: | Seeks a high level of current income and total return, primarily investing in AA-BBB CLO tranches |
Structure: | Exchange Traded Fund (ETF) |
Reference Benchmark: | JP Morgan CLO A Index |
Portfolio Managers: | Himani Trivedi and Joshua Grumer |
To provide access to mezzanine and equity tranches of CLOs in an interval fund structure, in Q1 2025, Nuveen intends to convert the Nuveen CLO Opportunities Fund, currently an LP fund, to the Nuveen Enhanced CLO Income Fund, a proposed interval fund*.
Name and Ticker: | Nuveen Enhanced CLO Income Fund (Class I: NCLOX, Class A1: NCLYX, Class A2: NCLZX) |
Proposed Strategy: | Will primarily invests in debt and equity tranches of third-party managed broadly-syndicated loan CLOs purchased in the primary and secondary markets. The Fund's investments in CLOs are anticipated to generate high current income. |
Proposed Structure: | Interval Fund |
Proposed Portfolio Managers: | Himani Trivedi and Joshua Grumer |
Nuveen's leveraged finance investment team of 40 dedicated investment professionals manages over
Meeting Advisors and Clients Where They Are in the Private Markets
The launch of Nuveen's new Private Markets Institute underscores the firm's commitment to helping advisors and their clients meet their investment goals. The Institute offers educational and practical techniques that advisors can employ concerning portfolio construction, asset class implementation and due diligence so they can better engage with their clients on the opportunities within private markets.
"To help advisors and their clients grow their knowledge of the role and applications of private market assets, we provide a step-by-step educational process that advisors can 'enter' at whatever point makes most sense for them and their clients," said Joy Crenshaw, CIMA, Head of Advisor Development at Nuveen. "Based on their understanding and experience, we deliver practical support to demonstrate how private markets allocations can align with investors' interests and needs."
An example of this support , the Institute provides straightforward, sample "talk tracks" that demonstrate multiple ways that an advisor can start and sustain a client conversation about the private markets, as well as easy-to-understand informational materials on the unique features and benefits of these investments that an advisor can provide directly to clients for their own review.
"Investors are seeking to build better diversified, more resilient, better performing portfolio with these assets," said Crenshaw. "Advisors have also recognized that they can enhance their value proposition with clients by helping them access alternative assets."
Decades-Long Commitment to Alternative Investments
With over
- Nuveen's global cities real estate strategy that invests across core private real estate sectors by targeting locations best positioned for demographic and structural megatrends
- Nuveen and Churchill's private credit strategy that provides access to private capital investments across the
U.S. middle market - Nuveen's global farmland strategy that provides the opportunity for access to high-quality, globally diversified agricultural assets
Media Contacts
Sally Lyden | Sally.Lyden@nuveen.com | 646.984.1913
E-Soo Kim | E-Soo.Kim@nuveen.com | 551.224.4919
About Nuveen
Nuveen, the investment manager of TIAA, offers a comprehensive range of outcome-focused investment solutions designed to secure the long-term financial goals of institutional and individual investors. Nuveen has
Nuveen Securities, LLC, member FINRA and SIPC.
*The Fund has filed a registration statement (including a preliminary prospectus) with the SEC for the offering to which this communication relates. Before you invest, you should carefully read the preliminary prospectus, which accompanies this brochure, and consider the Fund's investment objectives and policies, risk considerations, charges and expenses. Once the registration statement is effective, you should read the Fund's final prospectus, which contains this and other information about the Fund, carefully. You may obtain these documents by visiting EDGAR on the SEC's website at www.sec.gov. Alternatively, the Fund, or any underwriter or any dealer participating in the offering, will arrange to send you the preliminary prospectus, free of charge, if you request it by calling 800-257-8787. Capitalized terms not defined in this brochure have the meanings ascribed to them in the preliminary prospectus.
An interval fund is a non-diversified, closed-end management investment company that continuously offers its common shares. An interval fund is not intended to be a complete investment program and, due to the uncertainty inherent in all investments, there can be no assurance that the fund will achieve its investment objectives. An interval fund's performance and the value of its investments will vary in response to changes in interest rates, inflation, the financial condition of a security's issuer, ratings on a security, perceptions of the issuer, and other market factors. Common shares at any point in time may be worth less than your original investment, even after taking into account the reinvestment of fund dividends and distributions.
Investors should consider the investment objectives and policies, risk considerations, charges and expenses of a fund carefully before investing. For a prospectus which contains this and other information relevant to an investment in a fund, please contact your securities representative or Nuveen Securities, LLC, 333 W. Wacker Drive,
This document is not an offer to sell securities and is not soliciting an offer to buy securities in any jurisdiction where the offer or sale is not permitted. We may not sell securities for a fund until the registration statement filed with the Securities and Exchange Commission is effective.
Exchange Traded Funds (ETFs) may not be marketed or advertised as an open-end investment company or mutual fund. Shares of ETFs are bought and sold at market price as opposed to net asset value. As a result, an investor may pay more than net asset value when buying and receive less than net asset value when selling. In addition, brokerage commissions will reduce returns. Fund shares are not individually redeemable directly with the Fund, but blocks of shares may be acquired from the Fund and tendered for redemption to the Fund by certain institutional investors in Creation Units.
Investing involves risk; principal loss is possible. Fixed-income securities may be susceptible to general movements in the bond market and are subject to credit and interest rate risks. The risk associated with Collateralized Loan Obligations (CLO) are loans and high yield securities, the risk that distributions from the collateral may not be adequate to make interest or other payments; the quality of the collateral may decline in value or default; the Fund may invest in tranches of CLOs that are subordinate to other tranches; and the CLO's manager may perform poorly.
These and other risk considerations, such as active management, derivatives, extension, illiquid investments, issuer and income volatility risks, are described in detail in the Fund's prospectus.
Before investing, carefully consider fund investment objectives, risks, charges and expenses. For this and other information that should be read carefully, please request a prospectus or summary prospectus from your financial professional or Nuveen at 888.849.5734 or visit nuveen.com.
Nuveen Fund Advisors, LLC serves as the Fund's adviser and Nuveen Asset Management, LLC serves as the Fund's sub-adviser; both the adviser and sub-adviser are subsidiaries of Nuveen, LLC. Nuveen Securities, LLC, member FINRA and SIPC.
1 As of 9/30/24
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FAQ
What is the ticker symbol and focus of Nuveen's new CLO ETF?
When will Nuveen convert its CLO Opportunities Fund to an interval fund?
How much assets does Nuveen's CLO platform manage?
Who are the portfolio managers for Nuveen's new CLO ETF (NCLO)?
