After announcing it had downgraded approximately 500 tranches of 93 U.S and European CLOs, Moody’s Investors Service said Monday that the majority of top-rated CLO tranches are in danger of losing their triple-A rating.

As scary as that sounds, Moody’s said those triple-A tranches will mostly fall to the double-A category and that many triple-A tranches will retain their triple-A status. The roughly 500 tranches that were downgraded were worth about $33 billion. Most of the debt was downgraded three or four notches, however 130 top-rated tranches weren’t hit as hard.

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