Listen to the latest episode of Credit Exchange with Lisa Lee
Published in London & New York
10 Queen Street Place, London
1345 Avenue of the Americas, New York
Creditflux is an
company
© Creditflux Ltd 2026. All rights reserved. Available by subscription only.
Data Funds
Fund performance
CLO funds struggle with worst performance in more than three years
The mediocre start to the year for CLO funds was exacerbated in February. Only two funds out of 21 exhibited positive returns, with the category showing an average decline of 3.46% — its worst overall performance since September 2022, when it retreated 4.56%. That put its average performance for the first two months of the year at -4.30%. CLO funds in the index showed an average gain of just over 5.3% in 2025.
CIFC’s CLO funds endured a particularly challenging month, with CLO Opportunity Fund IV and V declining by 9.57% and 7.53% respectively.
By contrast, corporate distressed enjoyed another standout performance, once again powered along by an excellent performance from Pictet Alt’s Distressed & Special Situations fund.
As was the case last month, the top 10 fund performers included representation from eight of the 10 categories tracked in Creditflux’s index.
Creditflux index returns February (%)
Leading fund
Pictet Alt Distressed & Special Situations
Pictet Alt maintained its outstanding recent performance with a remarkable 7.07% gain for its Distressed & Special Situations fund in February — its third-largest monthly increase ever. This fund also led our fund index in January, when it added 4.15%.
That sees its total return for the first two months of the year standing at a very healthy 11.51%, with the 12-month performance summing to an equally impressive 30.67% gain. For the six months between September and February inclusive, the fund’s monthly return has averaged 3.87%.
The Swiss manager can be well pleased with its efforts for the month, as its Pleiad Credit Opportunities Fund also performed well. This fund finished as the second-best performer in Creditflux’s index, returning 3.24%. That helped elevate it to become the third-best performing fund over the past 12 months, behind Hildene Opportunities Fund.
Top credit funds February (%)
Pictet Alt – Distressed & Special Situations vs corporate distressed cumulative returns (%)
See hedge fund listing notes
