Nuveen, the investment manager of TIAA, is expanding its alternative investment platform for the wealth market, launching a collateralized loan obligation (CLO) exchange traded fund (ETF). 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.
“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,” Jeff Carlin, head of global wealth advisory services at Nuveen, said.
“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,” Joy Crenshaw, head of advisor development at Nuveen, said. “Based on their understanding and experience, we deliver practical support to demonstrate how private markets allocations can align with investors’ interests and needs.”
“Investors are seeking to build better diversified, more resilient, better performing portfolio with these assets,” Crenshaw said. “Advisors have also recognized that they can enhance their value proposition with clients by helping them access alternative assets.”
