Royal London Asset Management has launched its inaugural €434 million Hambridge collateralised loan obligation, signalling intensified focus on European leveraged finance as the wider market shows increased activity and investor demand for higher-yielding credit solutions.
Royal London Asset Management has moved to deepen its presence in European leveraged finance with a new collateralised loan obligation (CLO) offering, while messaging around the size and sequencing of the deals shows mixed accounts.
According to Funds Europe, the firm launched a €500 million European CLO, described in that report as the largest European CLO issuance so far this year. Royal London Asset Management, in its own press material, presents a different figure for its inaugural Hambridge vehicle: the firm says it launched a €434 million Hambridge Collateralised Loan Obligation, which it characterises as a successful market debut supported by both existing and new institutional investors.
Royal London said in a statement that the backing across tranches demonstrated “highlighting investor confidence in the business’ disciplined approach to CLO portfolio construction and management. The transaction further expands the firm’s presence in European leveraged finance while enhancing solutions for clients seeking resilient income opportunities.” The CLO will be overseen by Sebastien Poulin and Khuram Sharih, with support from the wider leveraged finance team.
Khuram Sharih commented on the broader market dynamic: “The European leveraged loan and CLO markets continue to develop with robust activity and the Hambridge CLO franchise is a meaningful participant and significant contributor to the growth of these markets.
“We remain focused on delivering disciplined portfolio management and innovative solutions as part of our broader credit strategy.”
Royal London has also been reinforcing the capability that will support further CLO activity. After launching Hambridge Euro CLO 1, the firm expanded its leveraged finance research group, recruiting Loic Cathenod as a senior credit analyst and appointing Annika Shah as a credit analyst, moves the company says underpin the opening of a new warehouse for a follow-on Hambridge Euro CLO 2.
The flurry of activity at Royal London sits alongside continued issuance and product development in the broader CLO market. PGIM recently launched a UCITS vehicle targeting AAA-rated tranches of US and European CLOs, seeded with $25 million, reflecting institutional and wealth-channel demand for senior CLO exposure. PineBridge completed a US$550 million new-issue CLO as part of a long-running issuance programme, while Barings has been active in the European middle-market private credit CLO space with a €380 million structure. These transactions underline ongoing investor appetite for CLO strategies across both senior and mezzanine layers, as managers seek to offer diversified income solutions amid a shifting interest-rate backdrop.
Industry observers say the primary CLO market in Europe has reasserted momentum after periods of caution, driven by demand for higher-yielding, floating-rate credit exposure and managers’ efforts to tighten underwriting and portfolio construction. Royal London’s recent hires and its stated intention to grow the Hambridge franchise suggest it is positioning to be a regular issuer rather than a one-off entrant.
Royal London’s public materials present the launch as part of a broader multi-asset credit capability that already allocates across loans, high yield, asset-backed securities and other higher-yielding credit sectors, citing the firm’s aim to generate resilient income with shorter duration characteristics.
The differing headline sizes in market reporting and the firm’s own release highlight the fluidity of early post-transaction figures and the need for clarity from issuers and intermediaries as the European CLO pipeline continues to evolve.
- https://funds-europe.com/royal-london-launches-e500m-clo-ii/ – Please view link – unable to able to access data
- https://www.rlam.com/uk/institutional-investors/press-centre/2025/royal-london-asset-management-launches-434m-inaugural-hambridge-collateralised-loan-obligation/ – Royal London Asset Management has successfully launched its inaugural €434 million Hambridge Collateralised Loan Obligation (CLO), marking the firm’s entry into this asset class. The CLO received strong support from both existing and new institutional investors, reflecting confidence in the firm’s disciplined approach to CLO portfolio construction and management. The transaction enhances the firm’s presence in European leveraged finance and offers resilient income opportunities to clients. The CLO is managed by Khuram Sharih and Sebastien Poulin, supported by the firm’s wider leveraged finance team.
- https://www.rlam.com/uk/institutional-investors/press-centre/2025/royal-london-asset-management-expands-leveraged-finance-research-team/ – Following the successful launch of its first Collateralized Loan Obligation (CLO), Hambridge Euro CLO 1, Royal London Asset Management has expanded its leveraged finance research team. Loic Cathenod has joined as a Senior Credit Analyst, bringing over 20 years of credit experience, and Annika Shah has been appointed as a Credit Analyst after graduating from the University of Warwick. These additions demonstrate the firm’s commitment to the growth of its CLO platform and support the opening of a new warehouse for Hambridge Euro CLO 2.
- https://www.pgim.com/cl/en/institutional/about/newsroom/press-releases/pgim-launches-ucits-global-aaa-clo-fund – PGIM, the global asset management business of US-based Prudential Financial, Inc., has launched the UCITS PGIM Global AAA CLO Fund with $25 million of seed capital. The fund focuses on the senior debt tranches (those rated AAA) of US and European CLOs, offering intermediaries, the wealth channel, and institutional investors access to the CLO market. This launch complements PGIM’s $77 billion CLO platform and aligns with its long-term growth ambitions, catering to a broader set of clients seeking high-quality, yield-enhancing fixed income strategies.
- https://www.pinebridge.com/en/default/press-releases/pinebridge-investments-advances-clo-business-with-ususd550-million-new-issue – PineBridge Investments has closed Galaxy 35 CLO, Ltd., a US$550 million target par new issue collateralized loan obligation (CLO). This marks the firm’s 41st CLO issuance and reflects the strength of its CLO platform and investor confidence. The transaction follows two new issues and several resets and refinancings completed in 2024, reinforcing PineBridge’s continued momentum and commitment to growing this integral business line.
- https://www.barings.com/en-us/individual/contact/media/news/barings-launches-first-european-middle-market-private-credit-clo-at-380-million – Barings has launched its first European middle market private credit CLO, Barings Euro Middle Market CLO 2024-1 DAC, at €380 million. This diversified EU private credit CLO is backed by a portfolio of European middle market senior secured loans and is rated by S&P and Fitch. The launch combines Barings’ Global CLO team’s experience with its Global Private Finance Group, marking a significant step in expanding its CLO platform in the European market.
- https://www.rlam.com/globalassets/media/literature/brochures/multi-asset-credit-brochure.pdf – Royal London Asset Management’s Multi Asset Credit fund offers a diversified portfolio across various credit sectors, including global high yield, asset-backed securities, loans, floating rate notes, emerging market debt, convertible bonds, and global investment-grade bonds. The fund aims to provide attractive income through exposure to higher-yielding segments of the credit market, with a shorter duration to offer protection against volatility or rising interest rates. The fund is managed by a team of experienced professionals, including Khuram Sharih and Sebastien Poulin.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The article was published on 3 March 2026, making it current. However, the €500 million figure is inconsistent with Royal London’s own press release, which states €434 million. This discrepancy raises questions about the accuracy of the reported amount. Additionally, the article’s reliance on a single source, Funds Europe, suggests potential limitations in freshness and originality.
Quotes check
Score:
6
Notes:
The article includes direct quotes attributed to Khuram Sharih. However, these quotes cannot be independently verified through other sources, raising concerns about their authenticity. The lack of corroboration from multiple reputable outlets diminishes the credibility of the statements.
Source reliability
Score:
5
Notes:
Funds Europe is a niche publication focusing on the asset management industry. While it may be reputable within its niche, its limited reach and potential biases necessitate cautious interpretation of its content. The article’s reliance on a single source further diminishes its reliability.
Plausibility check
Score:
7
Notes:
The launch of a €500 million CLO by Royal London Asset Management is plausible, given the firm’s previous activities in the CLO market. However, the inconsistency in reported figures and the lack of independent verification of key details raise questions about the accuracy of the claims. The absence of corroboration from other reputable outlets further diminishes the plausibility of the narrative.
Overall assessment
Verdict (FAIL, OPEN, PASS): FAIL
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The article presents a narrative about Royal London’s €500 million CLO launch, but significant concerns about accuracy, source reliability, and verification independence lead to a FAIL verdict. The inconsistency in reported figures, reliance on a single source, and lack of independent verification diminish the credibility of the content. Editors should exercise caution and seek additional corroboration before considering publication.