What January Trading Reveals About CLO Secondary Liquidity
February 23, 2026
January CLO secondary markets showed a stabilising tone rather than acceleration. TRACE trading volumes held near $18.8bn, with multiple sessions above $1bn confirming consistent liquidity. US BSL AAA spreads tightened toward ~121bps, approaching cycle tights, while BB spreads retraced part of the year-end widening. Investor demand also rotated modestly down the capital stack, with high-yield tranches taking a larger share of activity as confidence improved. Read Kopentech's full article on Creditflux.