Palmer Square Capital Management Lists Europe's First Passive CLO ETF on the LSE

Strategic Insights -

Palmer Square Capital Management has made history by listing the first passive Euro-denominated CLO ETF in Europe on the London Stock Exchange, providing targeted exposure to AAA and AA-rated CLO debt. This latest development marks a significant milestone in the firm's pioneering efforts in the European CLO market, where it has established itself as the #1 European CLO issuer from 2022 through 2024. The new ETF, Palmer Square EUR CLO Senior Debt Index UCITS ETF (PCL0), tracks the performance of the proprietary EUR CLO Senior Debt Index (ECLOSE), which was launched in 2024 to meet institutional demand for a transparent, rules-based benchmark for the European CLO senior debt market. PCL0 is structured as a sub-fund of the Palmer Square UCITS ICAV, a collective asset-management vehicle regulated under Irish law, and is fully compliant with European ESG standards.

Key Takeaways:

  • Palmer Square EUR CLO Senior Debt Index UCITS ETF (PCL0) is the first passive Euro-denominated CLO ETF available in Europe.
  • The ETF provides targeted exposure to AAA and AA-rated CLO debt, benchmarked to Palmer Square's proprietary EUR CLO Senior Debt Index (ECLOSE).
  • Palmer Square was the #1 European CLO issuer from 2022 through 2024, with more than 20 European CLOs issued and a zero-default record across all CLO platforms globally.
  • PCL0 tracks the performance, before fees and expenses, of ECLOSE, which was launched in 2024 to meet institutional demand for a transparent, rules-based benchmark for the European CLO senior debt market.
  • The firm has a zero-default record across all CLO platforms globally.
  • Palmer Square UCITS ICAV is advised by Maples and Calder (Ireland) LLP, with Carne Global Fund Managers (Ireland) Ltd. acting as Management company.
  • J.P. Morgan serves as Administrator, Registrar, and Depository.

Statistics:

  • Palmer Square Capital Management manages over USD 36.2 billion in fixed income/credit investments on behalf of a diverse client base (as of 07/31/25).
  • Palmer Square has issued more than 20 European CLOs and has a zero-default record across all CLO platforms globally.
  • The European CLO senior debt market is a key segment of the global CLO market, which Palmer Square has been instrumental in pioneering.

Sources:

  • "Palmer Square Capital Management Lists Europe's First Passive CLO ETF on the LSE" - M2 Communications (2025)