New York Stock Exchange-listed Ares Multi-Strategy Credit Fund will make monthly distributions for the next three months of $0.1525 per common share, according to a statement on Monday (12 October).
The fund’s share price has fallen from its initial offering price of $25.00 per share and was trading at $20.73 ahead of the distribution announcement at the end of trading last Thursday (9 October).
The distributions by the fund, which is managed by a subsidiary of credit specialist Ares Management, represent an annualised distribution rate of 7.32 percent and 8.83 percent respectively, according to the announcement.
The share price of the closed-ended vehicle was at $20.29 at trading close yesterday (13 October), according to Bloomberg data
Managed by Ares Capital Management II, the multi-strategy credit fund invests in below investment grade senior secured loans, high yield corporate bonds and other similar fixed-income instruments including derivatives, collateralised loan obligations and other asset backed securities.
Ares had approximately $79 billion in assets under management as of 30 June 2014.