JBBB: A CLO Fund Fit For Retirement Portfolios

Roberts Berzins, CFA
10.56K Followers

Summary

  • High-yielding CLOs are complex and dangerous, with the risks of NAV decay and yield reductions being very high.
  • However, JBBB presents a completely different story.
  • In the article, I discuss why I see a bullish case for JBBB, where, in my view, the typical high-yielding CLO risks are greatly mitigated.
  • In fact, the financial properties of JBBB are so strong that I even see a rationale for the ETF being included in retirement income portfolios.

an open black safe with pile of gold coins and a classic calculator

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Many of my followers will agree that my investment strategy and recommended securities do not entail aggressive risk-taking. Since my investment objective is to ultimately achieve a portfolio that would entirely fund all of my

This article was written by

10.56K Followers
Roberts Berzins has over a decade of experience in the financial management helping top-tier corporates shape their financial strategies and execute large-scale financings. He has also made significant efforts to institutionalize REIT framework in Latvia to boost the liquidity of pan-Baltic capital markets. Other policy-level work includes the development of national SOE financing guidelines and framework for channeling private capital into affordable housing stock. Roberts is a CFA Charterholder, ESG investing certificate holder, has had an internship in Chicago board of trade (albeit, being resident and living in Latvia), and is actively involved in "thought-leadership" activities to support the development of pan-Baltic capital markets.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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