Nuveen Bolsters Alts Platform with Launch of New CLO ETF

Nuveen is expanding its alternative investment platform with the introduction of a new CLO ETF that focuses on AA-BBB rated CLO tranches. The ETF seeks strong current income and total return, setting it apart from typical CLO ETFs, which target triple A-rated CLOs.

Furthermore, the investment management arm of TIAA intends to convert its CLO Opportunities Fund into the Nuveen Enhanced CLO Income Fund in the first quarter of 2025. This interval fund structure invests in the debt and equity tranches of CLOs. The company’s leveraged finance team manages $43 billion in assets, with $17.8 billion in the CLO platform.

“To complement traditional income portfolios, and with increased awareness of the robust yields and lower historical defaults of CLOs, we’re seeing significant demand among our clients for this attractive alternative credit allocation,” said Jeff Carlin, head of global wealth advisory services at Nuveen.

The company also announced the establishment of its Private Markets Institute, which will offer educational resources and practical assistance to help advisors in fostering more effective client engagement for private market investments. Leading the effort is Joy Crenshaw, head of advisor development at Nuveen.

Nuveen manages more than $294 billion in the alternatives space across a range of strategies. The firm is looking to make these private asset portfolios more widely available to both individual investors and advisors.