CHICAGO--(BUSINESS WIRE)-- XAI Octagon Floating Rate & Alternative Income Term Trust (“XFLT” or the “Trust”) is pleased to announce the declaration of its initial monthly distribution of $0.0690 per share on the Trust’s common shares, payable on December 1, 2017 to common shareholders of record as of November 15, 2017, as noted below. Based on the Trust’s initial public offering price of $10.00 per share, the distribution represents an annualized distribution rate of approximately 8.28%.
The following dates apply to today's monthly distribution declaration:
|Ex-Dividend Date||November 14, 2017|
|Record Date||November 15, 2017|
|Payable Date||December 1, 2017|
|Amount||$0.0690 per common share|
Distributions on common shares are generally paid from net investment income (regular interest and dividends) and may also include capital gains and/or a return of capital. The specific tax characteristics of the distributions will be reported to the Trust’s common shareholders on Form 1099 after the end of the 2017 calendar year. For further information regarding the Trust’s distributions, please visit www.xainvestments.com.
The investment objective of the Trust is to seek attractive total return with an emphasis on income generation across multiple stages of the credit cycle. The Trust seeks to achieve its investment objective by investing in a dynamically managed portfolio of opportunities primarily within the private credit markets. Under normal market conditions, the Trust will invest at least 80% of its Managed Assets (as defined in this Prospectus) in floating rate credit instruments and other structured credit investments. There can be no assurance that the Trust will achieve its investment objective. The Trust closed its initial public offering on September 27, 2017. The Trust’s common shares are traded on the New York Stock Exchange under the symbol "XFLT."
About XA Investments
XAI is a Chicago-based firm founded by XMS Capital Partners in April, 2016. XAI believes that the investing public can benefit from new vehicles to access a broad range of alternative investment strategies and managers. XAI provides individual investors with access to institutional-caliber alternative managers. It will partner with established asset managers with proven capabilities in alternative credit, private debt and select hedge fund strategies.
About XMS Capital Partners
XMS, established in 2006, is a global, independent, financial services firm providing M&A, corporate advisory and asset management services to clients. It has offices in Chicago, London and Dublin.
About Octagon Credit Investors
Octagon is a 20+ year old, $16.9 billion below-investment grade corporate credit investment adviser based in New York. Octagon focuses on leveraged loans, high yield bonds and structured credit. Through fundamental credit analysis and active portfolio management, Octagon's investment team identifies attractive relative value opportunities across below-investment grade asset classes, sectors and issuers. Octagon’s investment philosophy and methodology encourage and rely upon dynamic internal communication to manage portfolio risk. Over its history, the firm has applied a disciplined, repeatable and scalable approach in its effort to generate attractive risk-adjusted returns to its investors. For more information, please visit www.octagoncredit.com.
XAI does not provide tax advice; consult a professional tax advisor regarding your specific tax situation. Income may be subject to state and local taxes, as well as the federal alternative minimum tax.
Investors should consider the investment objectives and policies, risk considerations, charges and expenses of the Trust carefully before investing. For more information on the Trust, please visit the Trust’s webpage at www.xainvestments.com.
This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.
|NOT FDIC INSURED||NO BANK GUARANTEE||MAY LOSE VALUE|
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Hakewill & Associates
Phone: 847-256-5420 (office); 847-714-6561 (cell)
Source: XA Investments