In this episode of the Last Tranche, Robert Zable, global head of Blackstone's liquid credit strategies, discusses the fallout of the regional banking crisis sparked by the collapse of Silicon Valley Bank on the CLO market.

Zable says that the volatile period in March saw deposits shift from smaller regional banks to the large institutions that historically were larger investors in CLOs, a trend which could lead to tighter triple A debt pricing as these banks look to invest this capital.

Zable also discusses the current opportunity within CLO management in the wake of last month's events. He speaks to the trend of consolidation within the CLO manager base, and addresses what factors can constrain a manager's ability to issue CLOs given the current volatile backdrop.