NPORT-EX 1 d805680dnportex.htm KKR INCOME OPPORTUNITIES FUND KKR Income Opportunities Fund


KKR Income Opportunities Fund
         
 July 31, 2019
           
(Unaudited)
Schedule of Investments
  
               
       
Par†
    
Value
LEVERAGED LOANS - 84.7%
            
Aerospace & Defense - 1.5%
            
EaglePicher Technologies, LLC, TL 1L 02/18
            
5.484% (1 Month US LIBOR + 3.250%), 03/08/2025 (a)
  
3,435,130
   $
 3,309,181
EaglePicher Technologies, LLC, TL 2L 02/18
         
9.484% (1 Month US LIBOR + 7.250%), 03/08/2026 (a)
  
1,838,910
    
1,769,951 
             
  5,079,132 
Building Products - 2.3%
            
Gypsum Management & Supply, Inc., TL 1L B 05/18
          
4.984% (1 Month US LIBOR + 2.750%), 06/01/2025 (a)
    
3,070,772
    
  3,034,952 
Ply Gem Holdings, Inc., TL 1L B 03/18
            
6.119% (1 Month US LIBOR + 3.750%), 04/12/2025 (a)
    
2,505,111
    
  2,452,916 
SRS Distribution, Inc., TL 1L B 05/18
            
5.484% (1 Month US LIBOR + 3.250%), 05/23/2025 (a)
    
2,277,090
    
   2,208,777 
             
 7,696,645 
Chemicals - 2.2%
            
Akzo Nobel Specialty Chemicals, TL 1L B 08/18
          
5.610% (1 Month US LIBOR + 3.250%), 10/01/2025 (a)(b)
  
1,821,810
    
   1,794,109 
Emerald Performance Materials, LLC, TL 2L 07/14
         
9.984% (1 Month US LIBOR + 7.750%), 08/01/2022 (a)
    
1,453,080
    
  1,430,071 
Flint Group GmbH, TL 1L B5 02/17
            
3.750% (3 Month EURIBOR + 3.750%), 09/07/2021 (a)(b)
EUR
  
511,052
    
  505,980 
Invictus, TL 2L 01/18
           
9.272% (3 Month US LIBOR + 6.750%), 03/30/2026 (a)
    
1,082,100
    
  1,077,366 
New Arclin US Holding Corp., TL 2L 02/17
         
10.984% (1 Month US LIBOR + 8.750%), 02/14/2025 (a)
    
282,363
    
  281,304 
Vantage Specialty Chemicals, Inc., TL 2L 10/17
         
10.580% (3 Month US LIBOR + 8.250%), 09/18/2024 (a)
    
2,397,730
    
  2,289,832 
             
  7,378,662 
Commercial Services & Supplies - 9.1%
            
Acosta Holdco., Inc., TL 1L B 04/15
           
5.484% (1 Month US LIBOR + 3.250%), 09/26/2021 (a)
    
13,875,120
    
  4,960,355 
Advantage Sales & Marketing, Inc., TL 1L B 06/14
         
5.580% (3 Month US LIBOR + 3.250%), 07/23/2021 (a)
    
8,593,728
    
 7,992,167 
Advantage Sales & Marketing, Inc., TL 2L 06/14
         
8.830% (3 Month US LIBOR + 6.500%), 07/25/2022 (a)
    
2,795,532
    
  2,261,586 
GFL Environmental, Inc., TL 1L B 10/18
            
5.234% (1 Month US LIBOR + 3.000%), 05/30/2025 (a)(b)
    
2,463,760
    
  2,449,414 
Monitronics International, Inc., TL 1L 03/12
         
10.000% (3 Month US LIBOR + 4.500%), 09/30/2022 (a)
    
10,149,304
    
  9,619,662 
Vivint, Inc., TL 1L B 06/18
           
7.332% (3 Month US LIBOR + 5.000%), 04/01/2024 (a)
    
3,267,504
    
  3,142,261 
             
  30,425,445 
Communications Equipment - 0.7%
            
Mitel US Holdings, Inc., TL 1L 06/18
            
6.766% (1 Month US LIBOR + 4.500%), 11/30/2025 (a)
    
2,510,740
    
  2,451,549 
               
Computers & Peripherals - 1.2%
            
Electronics For Imaging, Inc., TL 1L 06/19
            
7.291% (3 Month US LIBOR + 5.000%), 07/23/2026 (a)
    
4,096,941
    
  3,912,579 
               
Construction & Engineering - 2.9%
            
Brand Energy & Infrastructure Services, Inc., TL 1L 05/17
          
6.613% (3 Month US LIBOR + 4.250%), 06/21/2024 (a)
    
4,941,215
    
  4,783,319 
Yak Access, LLC, TL 1L B 05/18
           
7.234% (1 Month US LIBOR + 5.000%), 07/11/2025 (a)
    
5,274,426
    
 4,928,292 
             
  9,711,611 
Construction Materials - 0.5%
            
Quimper AB, TL 2L 02/19
            
8.250% (6 Month Euribor + 8.250%), 02/15/2027 (a)(b)
EUR
  
1,464,440
    
  1,631,271 
               
Distributors - 2.8%
            
Distribution International, Inc., TL 1L 06/19
            
8.016% (3 Month US LIBOR + 5.750%), 12/15/2023 (a)
    
9,590,171
    
9,158,613 
               
Diversified Telecommunication Services - 1.2%
          
Onvoy LLC, TL 1L 01/17
           
6.830% (3 Month US LIBOR + 4.500%), 02/10/2024 (a)
    
3,502,505
    
  2,907,080 
Peak 10 Holding Corp., TL 1L 07/17
           
5.830% (3 Month US LIBOR + 3.500%), 08/01/2024 (a)
    
1,270,438
    
  1,170,391 
             
 4,077,471 


LEVERAGED LOANS (continued)
     Par†     Value
Electronic Equipment, Instruments & Components - 4.4%
          
Excelitas Technologies Corp., TL 2L 10/17
           
9.832% (3 Month US LIBOR + 7.500%), 12/01/2025 (a)
    
10,370,400
    
 10,441,696 
Laird PLC, TL 1L B 04/18
            
6.830% (3 Month US LIBOR + 4.500%), 07/09/2025 (a)(b)
    
30,680
    
          29,880 
Vertiv Group Corp., TL 1L 03/17
           
6.330% (3 Month US LIBOR + 4.000%), 11/30/2023 (a)
    
4,450,661
    
  4,244,818 
             
 14,716,394 
Food  &  Staples  Retailing - 1.2%
            
Smart & Final Stores LLC, TL 1L B 05/19
            
9.016% (3 Month US LIBOR + 6.750%), 06/20/2025 (a)
    
2,750,300
    
 2,557,779 
Smart Foodservice, TL 1L B 05/19
            
7.016% (3 Month US LIBOR + 4.750%), 06/20/2026 (a)
    
1,348,600
    
 1,357,029 
             
3,914,808 
Food Products - 0.4%
            
CSM Bakery Products, TL 2L 07/13
           
10.040% (3 Month US LIBOR + 7.750%), 07/05/2021 (a)
    
991,568
    
 917,200 
CTI Foods Holding Co LLC, TL 1L 05/19 (Exit TL)
          
9.580% (3 Month US LIBOR + 7.250%), 05/03/2024 (a)(d)(e)
    
486,041
    
  485,857 
             
  1,403,057 
Health Care Providers & Services - 5.4%
            
LifePoint Hospitals, Inc., TL 1L 10/18
            
6.769% (1 Month US LIBOR + 4.500%), 11/16/2025 (a)
    
43,375
    
  43,684 
Paradigm Acquistion Corp., TL 2L 10/18 LC
         
10.022% (3 Month US LIBOR + 7.500%), 10/26/2026 (a)
    
555,010
    
    552,235 
Quorum Health Corp., TL 1L 04/16
           
9.006% (3 Month US LIBOR + 6.750%), 04/29/2022 (a)(c)(d)
    
8,165,788
    
 8,097,727 
Team Health, Inc., TL 1L 01/17
           
4.984% (1 Month US LIBOR + 2.750%), 02/06/2024 (a)
    
10,574,987
    
  9,297,159 
             
 17,990,805 
Hotels, Restaurants & Leisure - 4.9%
            
ClubCorp Club Operations, Inc., TL 1L B 08/17
          
5.080% (3 Month US LIBOR + 2.750%), 08/16/2024 (a)
    
6,216,155
    
 5,749,943 
Diamond Resorts International, Inc., TL 1L B 06/18
         
5.984% (1 Month US LIBOR + 3.750%), 09/02/2023 (a)
    
7,540,976
    
  7,208,720 
NPC International, Inc., TL 1L 04/17
            
5.769% (1 Month US LIBOR + 3.500%), 04/19/2024 (a)
    
2,822,858
    
  2,283,692 
SMG/PA, TL 2L 12/17
           
9.234% (1 Month US LIBOR + 7.000%), 01/23/2026 (a)
    
1,110,960
    
 1,126,236 
             
16,368,591 
IT Services - 5.8%
            
Access CIG, LLC, TL 2L 02/18
           
10.069% (3 Month US LIBOR + 7.750%), 02/27/2026 (a)
    
1,292,375
    
   1,292,911 
Dun & Bradstreet Corp., TL 1L B 01/19
            
7.241% (1 Month US LIBOR + 5.000%), 02/06/2026 (a)
    
5,431,840
    
  5,474,290 
PSAV, Inc., TL 2L 02/18
            
9.833% (3 Month US LIBOR + 7.250%), 09/01/2025 (a)
    
2,530,890
    
2,420,163 
Sutherland Global Services, Inc., TL 1L 10/14 _US Borrower
         
7.705% (3 Month US LIBOR + 5.375%), 04/23/2021 (a)
    
6,551,068
    
 6,488,276 
Sutherland Global Services, Inc., TL 1L 10/14_Cayman Borrower
         
7.705% (3 Month US LIBOR + 5.375%), 04/23/2021 (a)
  
1,524,940
    
 1,510,324 
Systems Maintenance Services Holdings, Inc., TL 1L B 10/16
         
7.402% (1 Month US LIBOR + 5.000%), 10/30/2023 (a)
    
572,805
    
 436,764 
VeriFone Systems, Inc., TL 1L 07/18
            
7.2340% (3 Month US LIBOR + 4.000%), 08/20/2025 (a)
   
1,221,493
    
 1,191,341 
Xerox Business Services LLC, TL 1L B 12/16
         
4.734% (1 Month US LIBOR + 2.500%), 12/07/2023 (a)
    
349,250
    
  344,011 
             
19,158,080 
Leisure Products - 0.5%
            
Camping World Good Sam, TL 1L B 03/18
            
5.152% (1 Month US LIBOR + 2.750%), 11/08/2023 (a)
    
1,694,370
    
  1,591,745 
               
Life Sciences Tools & Services - 0.8%
            
Albany Molecular Research, Inc., TL 2L 07/17
         
9.234% (1 Month US LIBOR + 7.000%), 08/30/2025 (a)
    
2,174,190
    
  2,179,625 
PAREXEL International Corp., TL 1L 08/17
          
4.984% (1 Month US LIBOR + 2.750%), 09/27/2024 (a)
    
530,042
    
512,487 
             
 2,692,112 
Machinery - 5.1%
            
Accuride Corp., TL 1L B 10/17
           
7.580% (3 Month US LIBOR + 5.250%), 11/17/2023 (a)
    
1,866,764
    
 1,558,748 
CPM Holdings, Inc., TL 2L 10/18
           
10.484% (1 Month US LIBOR + 8.250%), 11/16/2026 (a)
    
1,655,830
    
  1,644,786 
Utility One Source LP, TL 1L 03/17
           
7.830% (3 Month US LIBOR + 5.500%), 04/18/2023 (a)
    
4,603,562
    
  4,643,843 
WireCo WorldGroup, Inc., TL 1L 07/16
           
7.234% (1 Month US LIBOR + 5.000%), 09/29/2023 (a)(b)
    
3,317,767
    
3,326,890 
WireCo WorldGroup, Inc., TL 2L 07/16
           
11.234% (1 Month US LIBOR + 9.000%), 09/30/2024 (a)(b)
    
5,918,991
    
 5,889,397 
             
  17,063,664 


LEVERAGED LOANS (continued)
     Par†     Value
Media - 2.7%
            
Emerald Expositions Holding Inc., TL 1L B 11/17
          
4.984% (1 Month US LIBOR + 2.750%), 05/22/2024 (a)
    
2,485,103
    
2,444,720 
NEP Broadcasting, LLC, TL 2L 09/18
           
9.234% (1 Month US LIBOR + 7.000%), 10/19/2026 (a)
    
5,063,000
    
 5,063,000 
Numericable-SFR, TL 1L B13 07/18
            
6.325% (1 Month US LIBOR + 4.000%), 08/14/2026 (a)(b)
    
1,626,822
    
  1,621,746 
             
  9,129,466 
Metals & Mining - 9.2%
            
Foresight Energy, LLC, TL 1L B 03/17
           
8.272% (3 Month US LIBOR + 5.750%), 03/28/2022 (a)
    
10,910,430
    
  8,064,608 
Sequa Corp., TL 1L B 11/17
           
7.560% (3 Month US LIBOR + 5.000%), 11/28/2021 (a)
    
5,916,084
    
5,852,309 
Sequa Corp., TL 2L 04/17
           
11.266% (3 Month US LIBOR + 9.000%), 04/28/2022 (a)
    
17,149,877
    
 16,706,810 
             
 30,623,727 
Multiline Retail - 2.7%
            
Belk, Inc., TL 1L B 08/15
           
7.285% (3 Month US LIBOR + 4.750%), 12/12/2022 (a)
    
10,928,860
    
  8,899,207 
               
Professional Services - 0.9%
            
SIRVA Worldwide, Inc., TL 1L 07/18
           
7.789% (3 Month US LIBOR + 5.500%), 08/04/2025 (a)
    
1,915,227
    
  1,872,134 
SIRVA Worldwide, Inc., TL 2L 07/18
           
11.869% (3 Month US LIBOR + 9.500%), 08/03/2026 (a)
    
1,149,740
    
 997,399 
             
  2,869,533 
Road & Rail - 1.3%
            
Transplace, TL 2L 09/17
           
11.019% (1 Month US LIBOR + 8.750%), 10/06/2025 (a)
    
4,532,039
    
 4,441,398 
               
Software - 11.5%
            
Applied Systems, Inc., TL 2L 09/17
           
9.330% (3 Month US LIBOR + 7.000%), 09/19/2025 (a)
    
6,013,300
    
  6,093,487 
Gigamon, Inc., TL 1L 11/17
            
6.484% (1 Month US LIBOR + 4.500%), 12/27/2024 (a)
    
1,489,336
    
 1,457,687 
Misys Ltd., TL 1L 04/17
           
5.734% (1 Month US LIBOR + 3.500%), 06/13/2024 (a)
    
3,830,290
    
 3,765,673 
Misys Ltd., TL 2L 04/17 USD
           
9.446% (6 Month US LIBOR + 7.250%), 06/13/2025 (a)
    
5,926,140
    
5,903,917 
P2 Energy Solutions, Inc., TL 1L 10/13
           
6.560% (3 Month US LIBOR + 4.000%), 10/30/2020 (a)
    
11,053,363
    
 11,053,362 
Refinitiv, TL 1L B 08/18
           
5.984% (1 Month US LIBOR + 3.750%), 10/01/2025 (a)
    
7,938,154
    
 7,943,115 
Vertafore, Inc., TL 1L 05/18
            
5.484% (1 Month US LIBOR + 3.250%), 06/04/2025 (a)
    
2,167,977
    
  2,132,000 
             
 38,349,241 
Specialty Retail - 2.1%
            
Jo-Ann Stores, Inc., TL 1LB 10/16
           
7.259% (3 Month US LIBOR + 5.000%), 10/20/2023 (a)
    
1,870,902
    
  1,621,455 
Jo-Ann Stores, Inc., TL 2L 04/18
           
11.509% (3 Month US LIBOR + 9.250%), 05/21/2024 (a)
    
1,704,670
    
 1,414,876 
Talbots, Inc., TL 1L B 11/18
           
9.330% (3 Month US LIBOR + 7.000%), 11/28/2022 (a)
    
4,137,700
    
 4,029,086 
             
 7,065,417 
Transportation Infrastructure - 0.7%
            
Direct ChassisLink, Inc., TL 2L 04/19
            
10.588% (1 Month US LIBOR + 8.250%), 04/10/2026 (a)
    
2,355,220
    
 2,296,340 
               
Wireless Telecommunication Services - 0.7%
          
Sprint Corp., TL 1L 01/17
            
4.750% (3 Month US LIBOR + 2.500%), 02/02/2024 (a)
    
2,448,820
    
2,446,677 
               
               
TOTAL LEVERAGED LOANS (amortized cost $297,150,806)
        
 282,543,240 
               


HIGH YIELD SECURITIES - 59.3%
            
Aerospace & Defense - 1.2%
            
Pattonair Holdings Ltd.
            
9.000%, 11/01/2022 (b)(f)
    
3,845,000
    
  3,969,963 
               
Building Products - 3.2%
            
Ply Gem Holdings, Inc.
            
8.000%, 04/15/2026 (f)
    
5,266,000
    
  5,154,098 
SRS Distribution, Inc.
            
8.250%, 07/01/2026 (f)
    
5,596,000
    
 5,560,913 
             
 10,715,011 
               
HIGH YIELD SECURITIES (continued)
     Par†  
Value
Chemicals - 1.6%
            
Akzo Nobel Specialty Chemical
            
8.000%, 10/01/2026 (b)(f)
    
3,085,000
    
 3,069,575 
Consolidated Energy Finance SA
            
6.500%, 05/15/2026 (b)(c)(d)(f)
    
869,000
    
  864,655 
Cornerstone Chemical Co.
            
6.750%, 08/15/2024 (f)
    
1,356,000
    
1,257,690 
             
 5,191,920 
Commercial Services & Supplies - 7.1%
            
GFL Environmental, Inc.
            
5.375%, 03/01/2023 (b)(f)
    
4,910,000
    
 5,002,062 
8.500%, 05/01/2027 (b)(f)
    
1,529,000
    
  1,678,078 
Multi-Color Corp.
            
6.750%, 07/15/2026 (f)
    
2,136,000
    
2,184,060 
10.500%, 07/15/2027 (f)
    
2,282,000
    
 2,304,820 
Vivint, Inc.
            
8.750%, 12/01/2020
   
8,166,000
    
  7,798,530 
7.875%, 12/01/2022
   
2,601,000
    
 2,484,475 
7.625%, 09/01/2023
   
2,747,000
    
  2,162,439 
             
 23,614,464 
Construction & Engineering - 1.6%
            
Maxim Crane Works LP / Maxim Finance Corp.
          
10.125%, 08/01/2024 (f)
    
4,876,000
    
   5,229,510 
               
Construction Materials - 4.2%
            
Cemex Materials LLC
            
7.700%, 07/21/2025 (f)
    
12,842,000
    
 13,875,781 
               
Containers & Packaging - 1.8%
            
Plastipak Holdings, Inc.
            
6.250%, 10/15/2025 (f)
    
4,640,000
    
 4,188,992 
Reynolds Group Holdings, Inc.
            
7.950%, 12/15/2025
   
1,668,000
    
 1,826,460 
             
  6,015,452 
Diversified Telecommunication Services - 0.9%
          
Frontier Communications Corp.
            
8.500%, 04/01/2026 (f)
    
3,127,000
    
 3,063,522 
               
Electronic Equipment, Instruments & Components - 9.6%
          
Artesyn Embedded Technologies, Inc.
            
9.750%, 10/15/2020 (c)(d)(f)
    
10,434,000
    
10,590,510 
CommScope, Inc.
            
5.500%, 06/15/2024 (f)
    
8,124,000
    
   7,494,390 
Vertiv Group Corp.
            
9.250%, 10/15/2024 (f)
    
14,648,000
    
 13,878,980 
             
 31,963,880 
Health Care Providers & Services - 5.3%
            
CHS/Community Health Systems, Inc.
            
8.000%, 03/15/2026 (f)
    
3,161,000
    
  3,038,511 
LifePoint Hospitals, Inc.
            
9.750%, 12/01/2026 (f)
    
4,133,000
    
  4,396,479 
Quorum Health Corp.
            
11.625%, 04/15/2023 (c)(d)
    
4,797,000
    
  4,461,210 
Surgery Partners Holdings, LLC
            
6.750%, 07/01/2025 (f)
    
1,528,000
    
 1,363,740 
Team Health, Inc.
            
6.375%, 02/01/2025 (f)
    
5,271,000
    
 4,322,220 
             
17,582,160 
Hotels, Restaurants & Leisure - 3.8%
            
ClubCorp Club Operations, Inc.
            
8.500%, 09/15/2025 (f)
    
12,520,000
    
 11,330,600 
Enterprise Development Authority
            
12.000%, 07/15/2024 (f)
    
1,255,000
    
 1,402,462 
             
 12,733,062 
Household Products - 3.1%
            
Steinhoff
            
4.000%, 01/30/2021 (b)(c)(d)(f)(g)
EUR
  
6,500,000
    
  7,123,564 
1.250%, 08/11/2022 (b)(c)(d)(f)(g)
EUR
  
3,100,000
    
 3,285,861 
             
 10,409,425 
Insurance - 2.2%
            
Hub International Ltd.
            
7.000%, 05/01/2026 (f)
    
7,197,000
    
 7,336,406 
               
Life Sciences Tools & Services - 1.5%
            
PAREXEL International Corp.
            
6.375%, 09/01/2025 (f)
    
5,246,000
    
 4,839,435 
               
Machinery - 0.7%
            
Cleaver-Brooks, Inc.
            
7.875%, 03/01/2023 (f)
    
2,642,000
    
 2,450,455 
             
HIGH YIELD SECURITIES (continued)
     Par†     Value
Media - 1.9%
            
Diamond Sports Group LLC
            
5.375%, 08/15/2026 (f)
    
21,000
    
   21,393 
Intelsat Jackson Holdings SA
            
5.500%, 08/01/2023 (b)
    
3,631,000
    
 3,363,214 
Numericable-SFR
            
8.125%, 02/01/2027 (b)(f)
    
2,800,000
    
 3,055,500 
             
  6,440,107 
Metals & Mining - 1.3%
            
Allegheny Technologies, Inc.
            
7.875%, 08/15/2023
   
1,318,000
    
 1,425,087 
Foresight Energy, LLC
            
11.500%, 04/01/2023 (f)
    
7,479,000
    
 2,972,903 
             
4,397,990 
Multiline Retail - 0.1%
            
J.C. Penney Corp., Inc.
            
8.125%, 10/01/2019
   
153,000
    
 152,235 
5.650%, 06/01/2020
   
60,000
    
   57,000 
             
  209,235 
Oil, Gas & Consumable Fuels - 0.4%
            
Global Partners LP / GLP Finance Corp.
            
7.000%, 08/01/2027 (f)
    
1,272,000
    
 1,278,360 
               
Personal Products - 0.1%
            
Coty, Inc.
            
6.500%, 04/15/2026 (f)
    
372,000
    
358,980 
               
Pharmaceuticals - 1.1%
            
Teva Pharmaceutical Industries Ltd
            
2.950%, 12/18/2022 (b)
    
130,000
    
 117,488 
2.800%, 07/21/2023 (b)
    
556,000
    
  483,375 
Theravance Biopharma, Inc.
            
3.250%, 11/01/2023
   
3,405,000
    
 3,208,362 
             
 3,809,225 
Road & Rail - 3.9%
            
The Kenan Advantage Group, Inc.
            
7.875%, 07/31/2023 (f)
    
14,441,000
    
  13,105,207 
               
Textiles, Apparel & Luxury Goods - 2.2%
            
Lycra
            
5.375%, 05/01/2023 (b)(f)
EUR
  
668,000
    
716,249 
7.500%, 05/01/2025 (b)(f)
    
6,852,000
    
  6,475,140 
             
  7,191,389 
Trading Companies and Distributors - 0.5%
          
Neon Holdings, Inc.
            
10.125%, 04/01/2026 (f)
    
1,820,000
    
 1,747,200 
               
               
TOTAL HIGH YIELD SECURITIES (amortized cost $205,878,954)
        
 197,528,139 
               


       
Shares
      Value
COMMON STOCKS - 0.8%
            
Energy Equipment & Services - 0.2%
            
Proserv Acquisition LLC (b)(c)(d)(e)(g)
    
114,010
    
  636,992 
               
Food Products - 0.0%
            
CTI Foods Holding Co LLC (c)(d)(e)(g)
    
955
    
 112,798 
               
Hotels, Restaurants & Leisure - 0.6%
            
Caesars Entertainment Corp. (g)
    
21,240
    
 251,481 
VICI Properties, Inc.
   
73,140
    
 1,560,808 
             
1,812,289 
Specialty Retail - 0.0%
            
Charlotte Russe, Inc. (c)(d)(e)(g)
    
3,649
    
      – 
               
TOTAL COMMON STOCKS (cost $7,086,761)
        
        2,562,079 
               
PREFERRED STOCK - 0.1%
            
Energy Equipment & Services - 0.1%
            
Proserv Acquisition LLC
            
N/A (b)(c)(d)(e)(g)
    
36,249
    
 409,048 
               
TOTAL PREFERRED STOCK (cost $233,307)
        
   409,048 
               
TOTAL INVESTMENTS (amortized cost $510,349,828) (h)  - 144.9%
    
 483,042,506 
LIABILITIES EXCEEDING OTHER ASSETS, NET - (44.9)%
    
 (149,717,154)
NET ASSETS - 100.0%
         $
 333,325,352 

†
In U.S. Dollars unless otherwise indicated.
EUR
Euro
TL
Term Loan
(a)
Variable rate security, the coupon rate shown is the effective rate as of July 31, 2019.
(b)
Non-U.S. security.
(c)
Security considered restricted due to the Adviser’s knowledge of material non-public information. The total value of these securities as of July 31, 2019 was $35,582,365 and represented 10.7% of net assets.
(d)
Security considered illiquid, as defined by the Securities and Exchange Commission.  The total value of these securities as of July 31, 2019 was $36,068,212 and represented 10.8% of net assets.
(e)
Value determined using significant unobservable inputs.
(f)
Securities exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended.  These securities may only be resold to qualified institutional buyers in transactions exempt from registration.  The total value of these securities as of July 31, 2019 was $169,988,264, which represent 51.0% of net assets.
(g)
Non-income producing security.
(h)
All investments are held as collateral for the Fund’s credit facility.

The following are the details of the restricted securities held by the Fund:
      
       
 
Issuer (1)
Par/Shares
  
Acquisition date(s)
Amortized Cost
  
Value
% of Net Assets
 
Artesyn Embedded Technologies, Inc.
         10,434,000
  
09/26/13-05/08/19
  
                 10,304,075
  
          10,590,510
3.2%
 
Charlotte Russe, Inc., Common Stock
                 3,649
  
02/02/18
  
                              -
  
                       -
0.0%
 
Consolidated Energy Finance SA
             869,000
  
05/03/18
  
                     869,000
  
               864,655
0.3%
 
CTI Foods Holding Co. LLC, Common Stock
                    955
  
05/03/19
  
                   3,800,000
  
               112,798
0.0%
 
Proserv Acquisition LLC, Common Stock
             114,010
  
05/08/18
  
                   1,585,844
  
               636,992
0.2%
 
Proserv Acquisition LLC, Preferred Stock
               36,249
  
05/08/18
  
                     233,307
  
               409,048
0.1%
 
Quorum Health Corp.
           4,797,000
  
1/26/18-9/11/18
  
                   4,792,882
  
            4,461,210
1.4%
 
Quorum Health Corp.
           8,165,788
  
12/15/16-12/14/17
  
                   8,100,783
  
            8,097,727
2.4%
 
Steinhoff
           6,500,000
  
03/22/18-10/08/18
  
                   7,071,489
  
            7,123,564
2.1%
 
Steinhoff
           3,100,000
  
07/25/18
  
                   3,411,648
  
            3,285,861
1.0%
                   
 
(1) Refer to the Schedule of Investments for more details on securities listed.
      


The following table represents the Fund’s investments categorized by country of risk as of July 31, 2019:
         
 
Country:
% of Net Assets
  
 
United States
127.7%
    
 
Luxembourg
4.1%
    
 
Netherlands
3.6%
    
 
Cayman Islands
2.8%
    
 
Canada
2.7%
    
 
United Kingdom
1.5%
    
 
France
1.4%
    
 
Sweden
0.5%
    
 
Switzerland
0.3%
    
 
Israel
0.2%
    
 
Germany
0.1%
    
   
144.9%
    
 
Liabilities Exceeding Other Assets, Net
(44.9)%
    
   
100.0%
    


The following table presents information about the Fund’s assets measured on a recurring basis as of July 31, 2019 and indicates the fair value hierarchy of the inputs utilized by the Fund to determine such fair value:
  
                             
Investments in Securities
  
Level 1
    
Level 2
    
Level 3
    
Total
  
Leveraged Loans
          
282,057,383
      
485,857
      
282,543,240
  
High Yield Securities
          
197,528,139
              
197,528,139
  
Preferred Stocks
                  
409,048
      
409,048
  
Common Stocks
    
1,812,289
              
749,790
      
2,562,079
  
Cash equivalents
    
13,806,677
                      
13,806,677
  
Total Investments in securities and cash equivalents
    
15,618,966
      
479,585,522
      
1,644,695
      
496,849,183
  
                                     
                                     
The following is a reconciliation of the investments in which significant unobservable inputs (level 3) were used in determining value.
  
                                     
               
Leveraged Loans
    
Common Stocks
    
Preferred Stocks
  
Balance at October 31, 2018
          
$
1,509,823
    
$
1,307,926
    
$
4,764,434
  
Purchases
            
476,320
      
-
      
-
  
Sales and paydowns
            
(547,631
)
    
(808,974
)
    
(4,780,637
)
Settlements
            
(49,995
)
    
3,800,000
      
-
  
Net change in appreciation/(depreciation)
            
932,014
      
(3,542,294
)
    
382,715
  
Net realized gain/(loss)
            
(1,834,674
)
    
(6,868
)
    
42,536
  
Balance as of July 31, 2019
          
$
485,857
    
$
749,790
    
$
409,048
  
                                     
Net change in appreciation/(depreciation) on investments held at July 31, 2019
    
$
9,395
    
$
(3,621,123
)
  
$
1,232
  
                                     
                                     
The following table presents additional information about valuation techniques and inputs used for investments that are measured at fair value and categorized within Level 3 as of July 31, 2019:
  
                                     
Financial Asset
  
Fair Value
    
Valuation
Technique(1)
    
Unobservable Inputs (2)
    
Range
(Weighted
Average)(3)
  
Leveraged Loans
  
$
485,857
    
Yield Analysis
    
Yield
      
9%

                       
EBITDA Multiple
      
11.2x

                       
Net Leverage
      
5.4x

Common Stocks
  
$
764,790
    
Market Comparables
    
LTM EBITDA Multiple
      
1.4x - 11.0x(2.8x)

                       
Fwd EBITDA Multiple
      
1.2x - 7.8x(2.8x)
                       
Illiquidity Discount
      
15%

Preferred Stocks
  
$
409,048
    
Market Comparables
    
LTM EBITDA Multiple
      
1.4x

                       
Fwd EBITDA Multiple
      
1.2x


(1)
For the assets that have more than one valuation technique, the Fund may rely on the techniques individually or in aggregate based on a weight ascribed to each one ranging from 0-100%. When determining the weighting ascribed to each valuation methodology, the Fund considers, among other factors, the availability of direct market comparables, the applicability of a discounted cash flow analysis and the expected hold period and manner of realization for the investment. These factors can result in different weightings among the investments and in certain instances, may result in up to a 100% weighting to a single methodology.
(2)
The significant unobservable inputs used in the fair value measurement of the Fund’s assets and liabilities may include the last twelve months (“LTM”) EBITDA multiple, weighted average cost of capital, discount margin, probability of default, loss severity and constant prepayment rate. In determining certain of these inputs, management evaluates a variety of factors including economic, industry and market trends and developments, market valuations of comparable companies, and company specific developments including potential exit strategies and realization opportunities.
(3)
Weighted average amounts are based on the estimated fair values.