Kayne Anderson 

Kayne Liquid Credit Fund

 

FUND STATUS: Open

 

Kayne Liquid Credit Fund

 

FUND STATUS: Closed

 

Opportunity

The funds strategy is underpinned by the following goals:

Avoid High Default sectors – Avoid industries that have historically incurred high defaults in the high yield market (>4% annualized default rates over the past 20 years) and avoid commodity-exposed companies

Emphasize Hard Asset Value – Favor credits where debt and cash flow is supported by real property, plant and equipment (PP&E) and other long-lived “hard assets”. Kayne has a long-standing history of successful investing in “hard asset” businesses, as well as the analyst and research infrastructure to select strong credits

Low Leverage – Invest in public companies with a debt-to-capitalization level of less than 60%, or private companies with a debt-to-capitalization level of less than 50%, demonstrating the credit quality and “equity cushion” of value beneath the debt security. Bank loan portfolio will include private companies but will primarily invest in issuers with an estimated enterprise value of over $1.5 billion and over a $750 million cash equity commitment by the sponsor

Performing Credits – Select debt securities priced in excess of 80% of par value, avoiding any stressed or distressed situations. Minimize exposure to non-rated or issues rated below single-B

Opportunity

The funds strategy is underpinned by the following goals:

Avoid High Default sectors – Avoid industries that have historically incurred high defaults in the high yield market (>4% annualized default rates over the past 20 years) and avoid commodity-exposed companies

Emphasize Hard Asset Value – Favor credits where debt and cash flow is supported by real property, plant and equipment (PP&E) and other long-lived “hard assets”. Kayne has a long-standing history of successful investing in “hard asset” businesses, as well as the analyst and research infrastructure to select strong credits

Low Leverage – Invest in public companies with a debt-to-capitalization level of less than 60%, or private companies with a debt-to-capitalization level of less than 50%, demonstrating the credit quality and “equity cushion” of value beneath the debt security. Bank loan portfolio will include private companies but will primarily invest in issuers with an estimated enterprise value of over $1.5 billion and over a $750 million cash equity commitment by the sponsor

Performing Credits – Select debt securities priced in excess of 80% of par value, avoiding any stressed or distressed situations. Minimize exposure to non-rated or issues rated below single-B

Click below to learn more about Kayne Anderson’s Liquid Credit Fund

Click below to learn more about Kayne Anderson’s Liquid Credit Fund