Core Insights - Reckoner Capital Management launched the Reckoner BBB-B CLO ETF (RCLO) on NYSE Arca with over $27 million in assets under management, aiming to generate income while preserving capital through a diversified portfolio of CLO bonds rated BBB- and BB [1][2]. Group 1: Fund Details - RCLO has an expense ratio of 0.50% and is actively managed by John Kim, Tim Wickstrom, and Jared Finsterbusch [2]. - The fund follows the launch of Reckoner's first ETF, the Reckoner Yield Enhanced AAA CLO ETF (RAAA), which focuses on the highest-rated portion of the CLO capital structure [2]. Group 2: Market Context - Demand for CLO-focused ETFs is strong, particularly among investors seeking yield and diversification beyond traditional fixed income [2]. - BBB- and BB-rated CLOs offer higher yields than AAA CLOs while outperforming other credit assets with similar ratings in terms of loss experience, indicating a potential shift in investor interest towards these mezzanine tranches [3]. Group 3: Company Background - Reckoner Capital was founded in early 2025 with backing from private equity firm RedBird Capital Partners, positioning itself as a specialist in structured products, particularly CLOs [3]. - The launch of ETFs like RCLO aims to make CLOs more accessible to retail investors, bridging the gap between structured credit and retail investment [3].