Pearl Diver Capital Introduces Investment Grade CLO Strategy Following Strong Performance Since 2024

Floating-rate strategy for institutional investors focuses on relative value across U.S. and European investment grade CLO markets

LONDON, May 12, 2026 /PRNewswire/ -- Pearl Diver Capital, a specialist global investment manager focused on structured credit and portfolio risk-transfer strategies, today announced the broader market introduction of its Investment Grade CLO strategy, which has been operating since 2024 with early institutional backing and is now being shared more widely with investors.

The Pearl Diver Floating Rate Investment Grade Fund provides institutional investors with access to investment-grade collateralized loan obligation tranches across both US and European markets. The strategy utilizes a weekly liquidity structure, which Pearl Diver believes allows for greater flexibility in portfolio construction and trading decisions compared with daily‑liquidity vehicles.

"We're seeing compelling opportunities in the investment-grade CLO space, particularly for investors who can look beyond the constraints of daily liquidity," said Indranil (Neil) Basu, Founder and Managing Partner of Pearl Diver Capital. "Our weekly liquidity structure allows us to be more opportunistic across both U.S. and European markets and to take advantage of relative value opportunities that are often difficult for daily‑liquidity products to access."

Differentiated Approach

Since its ramp period beginning in late 2024, the Investment Grade strategy has outperformed comparable investment grade CLO ETF benchmarks while maintaining competitive drawdown performance. Pearl Diver attributes this performance to its ability to invest dynamically across primary and secondary markets and to access opportunities outside the predominantly U.S.‑focused ETF universe.

The fund's strategy distinguishes itself from the predominantly US-focused ETF market by investing across both US and European CLO markets. While approximately 85% of the global CLO market consists of US paper, Pearl Diver's ability to access European opportunities provides additional diversification and return potential.

"Most investment-grade CLO ETFs are constrained by daily liquidity and a U.S.‑only mandate," said Basu. "Our approach is designed for institutional investors who value flexibility, diversification, and disciplined relative‑value positioning."

Institutional Focus

The Investment Grade CLO strategy is intended for institutional investors seeking exposure to floating rate structured credit within an actively managed framework. The strategy complements Pearl Diver's established CLO and SRT capabilities and leverages the firm's proprietary data science and quantitative tools to identify relative value across the investment grade CLO universe.

About Pearl Diver Capital

Pearl Diver Capital is a specialist alternative credit asset manager that focuses on investing in collateralized loan obligations (CLOs) and the SRT markets with a global investor base that includes public pension and retirement systems, corporate pension plans, university endowments and foundations, asset managers, large family offices and insurance companies. The extension into the SRT business is a logical expansion for Pearl Diver Capital, as the bank desks who handle these transactions are typically the same teams who trade CLOs. Pearl Diver Capital deploys the same rigorous data science and machine learning based processes to identify relative value within these securitized credit markets, while leveraging existing relationships.

Contacts
Investors: [email protected], UK: +44 (0)20 3967 8032, US: +1 617 872 0945
Media: [email protected], +1-203-682-8268

SOURCE Pearl Diver Capital