In this edition of the Lakemore Insights – Year End 2022 report, we offer a comparison between three Alternative assets (CLO Equity vs. Direct Lending vs. Stressed and Distressed Investing) and highlight why we believe that new issue CLO Equity is a more attractive fit in the current market environment. We also discuss the latest market updates, like new issue CLO Equity arbitrage utilizing primary market loans on a 3-year discount margin basis reaching almost 28% for full year 2022 and a decline in the LTM leveraged loan market default rate, to 0.72%.