The “iCLO: Technology, Innovation and the Future of CLOs” session found plenty of common ground and positivity about the near-and long-term for the markets’ relationship with technology. However, the complex nature of CLOs and leveraged loans will inevitably mean the technological progress will lag more vanilla markets.
Consensus immediately reached one key aspect – now is an unprecedented and exciting time in the CLO and technology space. Not only have the markets themselves grown dramatically in recent years in terms of both volumes and participants, but technology has advanced significantly too.
First, there was a lot more acceptance for technology and quantitative tools to leverage core credit expertise, combined with a greater understanding of the need to resolve some of the markets’ complexities before regulators demand it and that technology can help there.
Michael Pusateri, CEO at Siepe observed, “I’ve been in the industry for 20+ years and it seems like we’ve been talking about the same things over and over again, but I think this time we do have an opportunity. Thanks to Coefficient Markets, Octaura, Versana and some of the things that are happening in the marketplace to help streamline and make data more available in a more consistent format, it’s a chance to make all of our lives easier. Especially when it comes to reporting back to our investors.”
Artificial Intelligence inevitably came up in the conversation while it was agreed… READ MORE VIA STRUCTURED CREDIT INVESTOR