Board Approves King Street as New Sub-Adviser, Octagon to Resign

summarizeSummary

XAI Octagon Floating Rate & Alternative Income Trust announced a significant change in its investment management, with King Street Sub-Adviser set to replace Octagon Credit Investors, pending shareholder approval.

check_boxKey Events

• New Investment Sub-Adviser Approved

  The Board of Trustees unanimously approved King Street Sub-Adviser, an affiliate of King Street Capital Management, L.P., to serve as the new investment sub-adviser.

• Current Sub-Adviser to Resign

  Octagon Credit Investors, LLC, the Trust's current investment sub-adviser, will resign effective around July 30, 2026.

• Shareholder Approval Required

  The King Street Sub-Advisory Agreement is subject to shareholder approval, with a special meeting intended for approximately July 30, 2026.

• Name Change Planned

  The Trust's name will change to "XAI Floating Rate & Alternative Income Trust" to reflect the sub-adviser change.

auto_awesomeAnalysis

The Trust's Board has approved King Street Sub-Adviser to take over investment management, replacing Octagon Credit Investors. This change, subject to shareholder approval, brings in a large, reputable asset manager to dynamically manage the fund's CLO and loan portfolio, potentially enhancing investment strategy execution. This is a material change in the fund's operational management.