PHILADELPHIA – December 15, 2020 – FS Investments, a leading alternative investment manager, announced that FS Credit Income Fund (I share: FCRIX), an alternative credit strategy sub-advised by GoldenTree Asset Management, has reached its three-year anniversary.
Since inception, FS Credit Income Fund (“the Fund”) has paid a high level of current income, with the Fund’s annualized distribution rate averaging 6.10% as of October 31, 2020.1 Over the same period, the Fund returned 5.07% per year,2 outperforming the liquid end of the loan and high yield bond markets by 208 basis points and 120 basis points per year, respectively.3
This performance has been driven by the Fund’s flexible, alternative credit mandate that invests across asset classes, sectors and capital structures to capture the best relative value opportunities in liquid and less-liquid areas of the credit markets. The Fund focuses on catalyst-driven investments offering a high level of current income and the potential for capital appreciation. These may include stressed and distressed assets, structured credit, emerging market debt and complex situations where GoldenTree’s deep credit expertise can help unlock value.
GoldenTree was recently named 2020 Credit-Focused Hedge Fund Manager of the Year by Institutional Investor magazine4 and 2020 CLO Manager of the Year by Alt Credit.5
“Credit markets are larger, more complex and move faster today than at any other period in recent memory,” said Mike Kelly, Co-President and Chief Investment Officer at FS Investments. “As market speed increases, liquidity can be here today and gone tomorrow. We believe the flexibility of our strategy, the limited liquidity of the interval fund structure, and our partnership with GoldenTree provide a truly differentiated way for investors to access the opportunities in credit across a full market cycle.”
“While the financial advisors we serve are diversified across wirehouses, RIAs and the independent community, their clients have shared needs – solutions that deliver differentiated sources of income and growth to help reach their financial goals,” commented Steve DeAngelis, Senior Managing Director of FS Investments and President of FS Investment Solutions. “We believe FS Credit Income Fund can help enhance client portfolios while also delivering a high level of current income, which is challenging to find in today’s low rate environment.”
About FS Investments
FS Investments is a leading asset manager dedicated to helping individuals, financial professionals and institutions design better portfolios. The firm provides access to alternative sources of income and growth, and focuses on setting industry standards for investor protection, education and transparency.
FS Investments is headquartered in Philadelphia, PA, with offices in New York, NY, Orlando, FL, and Leawood, KS. Visit www.fsinvestments.com to learn more.
GoldenTree is an employee-owned, global asset management firm that specializes in opportunities across the credit universe in sectors such as high yield bonds, leveraged loans, distressed debt, structured products, emerging markets, private equity and credit-themed equities. GoldenTree was founded in 2000 and is one of the largest independent asset managers focused on credit. GoldenTree manages approximately $28 billion for institutional investors including leading public and corporate pensions, endowments, foundations, insurance companies and sovereign wealth funds. For more information, please visit www.goldentree.com.