We specialize in acquiring, asset managing, and trading CLO and other corporate credit-related assets.
Why CLOs?
Ellington Credit Company (NYSE: EARN) is a non-diversified, publicly traded, closed-end management investment company that has registered as an investment company under the Investment Company Act of 1940.
Our primary investment objectives are to generate attractive current yields and risk-adjusted total returns for shareholders. We invest in multiple parts of the CLO capital structure, principally mezzanine debt and equity tranches. Rather than focusing only on short-term current yield, we select investments that we believe will provide a strong total return to drive a sustainable earnings stream over a long-term horizon. We also take a trading-oriented approach, which seeks to take advantage of pricing inefficiencies in the CLO market, as opposed to simply “buy-and-hold.”
We believe that our selective use of credit hedges and our liquidity management protocols can better protect net asset value during times of market stress. We leverage Ellington's proprietary technology, analytics and risk management systems to enhance underwriting and investment selection and to guide ongoing portfolio monitoring and surveillance.