With the profusion of new CDO managers entering the market, there has been some buzz surrounding the relative inexperience of some managers, and whether or not this will impact the future performance of these deals.
A recent report from Standard & Poor's provides a snapshot of the collateral manger environment with a listing of the largest managers by size. TCW Group was the largest by dollar volume, accounting for $14.3 billion of the total cash flow CDO market. Babson Capital Management was second with $11 billion in assets under management, followed by Brightwater Capital Management with $9.1 billion under management. PIMCO and BlackRock Financial Management Inc. rounded out the top five.