Norinchukin Bank, one of the biggest buyers of domestic asset-backed issues in Japan, is looking for investment opportunities in collateralized bond and loan obligations underpinned by Asian obligors, said a bank official in Tokyo.

The bank's international finance and investment division only began investing in Asian CBOs and CLOs last year, but it is hungry for more opportunities. "The advantage [of collateralized deals] is that they provide a well-diversified portfolio that does not require us to analyze the default ratio of each individual credit, which we would do in the case of a limited number of assets," he said.

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