Palmer Square Capital Management, a credit-focused alternative asset management firm with more than USD33 billion in assets under management founded in 2009, is planning to launch three ETFs for European institutional investors in early 2025.
The launches are flagged with the filing of the Palmer Square EUR CLO Senior Debt Index ETF, focused on EUR and USD denominated AAA and AA CLO debt. The ETFs will include an active multi-strategy ETF providing similar exposure to PSQO, the NYSE-listed ETF currently offered in the US by Palmer Square.
“The launch of these ETFs in Europe underscores our commitment to delivering cutting-edge solutions in complex investment environments across the globe. It is a natural extension of our global expertise in structured credit and demonstrates our ability to meet the rising market demand,” says Angie Long, Chief Investment Officer and Portfolio Manager at Palmer Square Capital. “Leveraging our proprietary benchmarks trusted by institutions worldwide, these new products offer efficient access to a unique and compelling asset class, affirming our commitment to creating value for institutional and professional investors.”
The firm writes that these ETFs will offer capital preservation by targeting cycle-resilient assets with zero historical defaults, including an actively managed multi-asset credit allocation product offering a single-manager solution to simplify portfolio construction and provide enhanced access to the best relative value opportunities across corporate and structured credit.
The passive products will create investable access to Palmer Square’s deep understanding and research within the senior tranches of the CLO market, the firm says.
“Institutional appetite for our proprietary European CLO indices and debt products further underscores the demand for these innovative ETFs. Our ability to manage and develop these products entirely in-house ensures operational independence and best-in-class execution,” says Taylor Moore, Managing Director and Portfolio Manager.
