Following what can only be described as a regulatory war of attrition over the past six years and more, the forced evolution of CLO structures, as numerous tedious regulatory initiatives have been imposed, has brought ever mounting responsibility for directors in the new era of CLO 3.0.
With no slowdown in the relentless pace of regulatory change, traditionally more passive CLO directors have now effectively become regulatory gatekeepers, requiring an immense level of in-depth knowledge to ensure compliance, as well as increased time commitment and greater experience, to handle the numerous issues that continue to arise throughout the life of a CLO transaction.
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