Princeton, New Jersey-based asset manager Princeton Advisory Group (PAG) has been gearing up to act as investment advisor to the synthetic CLO Canal Point I, which is closing at least $30.5 million of Class A notes this month. Citibank is the swap counterparty for the deal, which references primarily double and single-B rated high-yield senior-secured bank loans.
The deal will mark the asset manager's entrance into the synthetic CLO sector. As of June, the 17-member PAG team had five ABS CDOs under management, along with one cash CLO and more than $5 billion in assets. The company had expanded its CDO platform last year, hiring a team of professionals with bank loan experience led by senior portfolio manager Paul Malecki. He was specifically hired to spearhead the asset manager's entrance into the CLO market.