JPMorgan to Gauge Collateralized Loan Obligations

JPMorgan Chase & Co. (NYSE:JPM) has created an index that will allow investors to measure collateralized loan obligations (CLO), most often corporate debt. Collateralized loan obligations used to finance leveraged buyouts Collateralized loan obligations have been used to finance leveraged buyouts as well a secure financing for factory expansion and other expansion needs of large and mid-sized businesses. The loans are then packaged and sold as one security with ratings from AAA to BB. The CLOIE gauge will enable investors to track the price and total return of CLOs and their debt portions, according to the bank. CLO financing deals…