CDO MANAGEMENT

• Managing CDOs since 1998 – experienced both as a manager and buyer of CDOs.
• Experienced as a sponsor/structurer/manager of corporate and structured finance-backed CDO deals and of both cash and synthetic structures with 7 separate CDO transactions brought to market since 1998 backed by a variety of collateral types including high yield corporate bonds, investment grade corporate bonds, investment grade corporate CDS, high-grade ABS, and emerging market future flow/export receivable securities.
  • Also structured 10 synthetic bespoke tranches backed by corporate credits.
  • Sponsor/structurer/manager experience includes two full capital structure, managed investment grade synthetic CDO transactions which matured successfully in 2007 with high realized internal rates of returns of 26.3% and 26.5% to equity holders.
• Also an experienced "successor" manager – since 4th quarter 2008, mandated as replacement manager on 12 CDOs including 8 mezzanine ABS CDOs, 2 high-grade ABS CDOs, and 2 commercial real-estate backed CDOs.
• Current deals under management include 13 CDOs representing approximately $4 billion of assets under management.

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philosophy

With our strong platform, state-of-the art technology, and highly experienced team, Cutwater Asset Management has competitive advantages and a solid commitment to being a consolidator in CDO management and delivering enhanced service and results to our CDO investors.

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the cutwater advantage

Market Access
With over $43 billion in assets under management and $4 billion in CDO Management, Cutwater has a significant presence in the Structured Finance market and relationships with all the largest Wall Street firms as well as many regional brokers. Such presence affords us advantages regarding information sharing, trade execution, deal flow, and market intelligence/research. We also have a subsidiary based in London, UK, which gives us access to European markets and trading counterparties.

Technology and Efficiencies-of-Scale
We have developed our own suite of proprietary models and analytical tools that are state-of-the-art and which facilitate the efficient monitoring of credit investments and structures. We also utilize systems, analytical tools, and databases available from third party vendors/Wall Street (including: Intex, TREPP, RiskSpan, Andrew Davidson & Co Loan Dynamics Model, Loan Performance database, Summit Derivatives System, Charles River, PAM, Credit Sights/Bondscore).

Deep Portfolio Management/Credit /Asset-Liability Teams
Our team leaders average over 12 years of experience and our portfolio management, credit and asset/liability teams work together as an integrated platform on a centralized trading desk. This allows all aspects of the market and specific portfolios to be considered on a holistic basis in decision making.

We have skilled structured finance and corporate credit teams covering the full breadth of the structured finance market and corporate credit sectors. The corporate team not only allows us to manage corporate backed CDOs but also enhances our ability to manage portfolios of structured finance investments by providing analysis/surveillance of underlying corporate credits (e.g., collateral backing CLOs, derivative/liquidity counterparties, ABS seller/servicers/originators).

Sophisticated Credit Analytics
We have loan level models for advanced analysis and surveillance of RMBS and CMBS.

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