Wellington Raises $194M for Debut CLO Partners Fund

Wellington Management announced the final close of its inaugural Wellington CLO Partners Fund I at $194 million, including $27 million from affiliates, to invest primarily in majority equity tranches of Wellington-managed U.S. Broadly Syndicated (BSL) CLOs. The fund exceeded its initial $150 million target.

Boston-based Wellington manages $11.6 billion in CLO debt and equity assets. As of 30 September 2024, the investment management firm has deployed three CLOs and plans to issue two to three additional deals per year.

“We believe CLO equity is a compelling asset class, and we anticipate further opportunities to pursue investment excellence on behalf of LPs in the current and future market environments,” said Alyssa Irving, CLO portfolio manager, Wellington Management. “With this fund, we are well-positioned to expand our platform and demonstrate our commitment to serving our clients as a CLO manager.”

Wellington began investing in bank loan and CLO tranches in the early 2000s. As of 31 December 2024, the firm managed approximately $535 billion in fixed income assets, including $5 billion in dedicated bank loan strategies, and $2.8 billion in dedicated CLO debt and equity portfolios.