SC Lowy, the boutique investment bank set up by former Deutsche Bank distressed-debt traders, has launched a $400 million collateralised loan obligation comprised of debt from Asian issuers, hoping to capitalise on the region's nascent market for CLOs.

The Hong Kong-based firm said on March 1 it has teamed up with UOB Asset Management, the equities and fixed income investment arm of Singapore's United Overseas Bank, to launch what it claims is the first fully Asia Pacific-backed, actively managed cash flow CLO.