CLO managers have another year and a half to get into compliance with rules requiring them to have “skin in the game” of deals, but they can’t get started soon enough to please some investors.

Risk retention rules require managers to hold 5% of the notional value of any deals completed after December 2016 on their balance sheets. That’s a tall order for firms that primarily manage money for others and have little of their own money to put to work.

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