Palmer Square Capital Management has announced the launch and commencement of trading for the Palmer Square EUR CLO Senior Debt Index UCITS ETF (PCL0), described as the first passive Euro-denominated CLO ETF designed specifically for European institutional investors that provides exposure to AAA- and AA-rated CLO debt.
PCL0 is benchmarked against Palmer Square’s EUR CLO Senior Debt Index (ECLOSE), expanding differentiated access globally to the European CLO senior debt. PCL0 is the first sub-fund of a newly established Irish collective asset-management vehicle (ICAV), Palmer Square UCITS ICAV, an umbrella fund with segregated liability between sub-funds, established under the laws of Ireland.
“The launch of PCL0 epitomises the philosophy of applying our deep global credit expertise and experience to innovative, investor-driven product solutions tailored to meet the rising institutional demand for this asset class around the world,” says Angie Long, Chief Investment Officer and Portfolio Manager at Palmer Square.
Palmer Square Founder and CEO, Chris Long, says: “As the newest addition to our global line-up of investment solutions, PCL0 is the first in a series of European Palmer Square ETFs providing high-quality exposure to cycle-resilient senior CLO debt, further extending global access to our recognized track record, while highlighting our distinct positioning and leadership in global credit markets.”
PCL0 tracks the performance, before fees and expenses, of ECLOSE, a proprietary, research-driven benchmark launched by Palmer Square in 2024 with a performance track record starting in 2018. Designed to provide institutional investors with a transparent, rules-based, high-quality benchmark for Euro-denominated CLO senior debt, ECLOSE serves as one of the cornerstones for Palmer Square’s expansion into the European ETF market.
“Our ETFs are designed to simplify portfolio construction while facilitating a superior way of gaining market exposure to the senior debt tranches of Euro-denominated CLOs,” says Taylor Moore, Managing Director and Portfolio Manager at Palmer Square.
“PCL0 will enable institutional investors to efficiently allocate to the universe of AAA and AA European CLO debt and achieve optimal market exposure with ease.”
Jeremy Goff, Managing Director at Palmer Square, says, “As the first and only passive UCITS CLO ETF tracking the performance characteristics of our ECLOSE index, PCL0 provides European institutional investors with an innovative and unique tool for accessing and allocating capital to this market.”
