Liquidity is flowing to the consumer finance and collateralized loan obligation markets with recent updates.
BHI has extended the revolving line of credit agreement with Lendbuzz to $50 million, to provide working capital for its consumer auto finance operations driven by artificial intelligence (AI). BHI, the U.S. division of Bank Hapoalim, a full-scale commercial bank, has a longstanding relationship and served as the agent of two of Lendbuzz's early warehouse facilities in 2018-2020.
Lendbuzz's proprietary, AI-based auto finance platform offers consumers a modern and digital lending experience across the credit spectrum. Consumers with no credit file, a thin credit file of those who fall under "near-prime" accounts for more than 40% of adults in the U.S.
Elsewhere, the B-BBB Collateralized Loan Obligation ETF has surpassed $1 billion in assets under management, Janus Henderson Investors announced on Monday. This tightens Janus' hold on the CLO ETF market, since JBBB is only the second CLO ETF to reach $1 billion in AUM. The first CLO ETF to hit that milestone is another Janus product, the AAA CLO ETF.
This gives Janus the two largest CLO ETFs, and a market share of more than 85% of all CLO ETF managed. JAAA alone, which surpassed $10 billion in AUM in June 2024, represents over 90% of all AAA CLO ETFs.
