Credit Enters Snapcount

BDCs, CLOs, and Broken Retail Products

I don’t like to use the word “crisis” because that word gets thrown around far too easily. Too many traders deep down want to be Mike Burry. So with that in mind, let me say instead that I think we are in for a good old-fashioned “credit downcycle” here. It’s never the end of the world, but we are clearly living through a shift, and a host of opportunities have attracted my attention. Today I want to spend some time examining one in particular where I have recently built a short position.