PGIM has launched the UCITS PGIM Global AAA CLO Fund with $25 million of PGIM seed capital. The Fund complements PGIM’s $77 billion collateralised loan obligations (CLO) platform and aligns with PGIM’s long-term growth ambitions.
The Fund focuses on the senior debt tranches (those rated AAA) of US and European CLOs, offering intermediaries and the wealth channel — in addition to institutional investors — access to the CLO market, which has been historically limited to institutional investors. The Fund can invest up to 20% of its assets in debt tranches rated AA. Rising investor confidence and appetite for high-quality, yield-enhancing fixed income strategies underscore the structural shift in how investors across EMEA are allocating to CLOs within regulated fund frameworks.
PGIM is a leading securitised credit and leveraged finance manager and additionally a top‑10 CLO manager active in both primary and secondary markets, managing $145 billion in securitised products, including $77 billion in CLOs (as of 31 March 2025). While the UCITS fund is a new offering, PGIM has managed CLO allocations in client portfolios since 2009 and manages the second-largest AAA CLO ETF in the US, with over $3 billion in assets under management.
Edwin Wilches, managing director and co-head of PGIM’s Securitized Products team, said:
“We are launching this Fund because there is demand from a broader set of clients who have historically had less access to this asset type. AAA-rated CLO tranches offer a rare combination of high credit quality and attractive yields. It is expected that this product may suit investors who seek income opportunities within a well-defined regulatory framework.”
The Fund’s performance is benchmarked against the ICE BofA US 3-Month Treasury Bill Index and is managed by PGIM’s Securitized Products team, led by Edwin Wilches, Gabriel Rivera, managing director and co-head of PGIM’s Securitized Products team, and Connor Byrnes, vice president on PGIM’s Securitized Products team — seasoned professionals with an average of 16 years of investment experience. Supporting the strategy is a dedicated team of 13 investment professionals on the Global CLO Tranche Investment Team.
Matt Shafer, head of International Distribution, Global Wealth at PGIM, adds:
“There is a unique opportunity to establish an early-mover position in international markets across EMEA and as well as Asia. The market is still in its early stages, but the fundamentals suggest untapped demand and significant long-term potential for growth and investor adoption.”
The Fund is classified as an Article 8 fund under the Sustainable Finance Disclosure Regulation (SFDR). The investment team incorporates analysis of environmental, social and governance (ESG) factors into its investment process.
The Fund is registered for sale in Luxembourg (domicile), the Netherlands, Denmark, Norway, Finland, Luxembourg, France, Italy (institutional), Spain, Germany and Sweden, and as a restricted scheme in Singapore. In addition, the Fund will be registered in the UK, Italy (retail) and Switzerland, subject to regulatory approval. The registration status of the Fund is available at pgimfunds.com.
