While the Volcker Rule gets blamed for the sudden lull in CLO issuance in January and February, it’s now getting some credit for helping one aspect of the roaring comeback of collateralized loan obligations: the infusion of new investors in triple-A tranches.

Since the second quarter of 2013, a litany of asset managers, insurance firms, pension funds and hedge funds have taken over a 42% share of triple-A paper in CLOs, compared with just 10% a year earlier, according to JPMorgan.  Meanwhile, banks – which largely took a breather from the CLO market when mulling over new federal rules against institutions holding certain CLOs under Volcker Rule prohibitions – saw their 90% share of triple-A tranches trickle down to 56% during that same period.

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