VIRTUS Newfleet High Yield Fund
SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2021
($ reported in thousands)
Par Value | Value | ||
Mortgage-Backed Security—0.1% | |||
Non-Agency—0.1% | |||
LHOME Mortgage Trust 2019-RTL1, A1 144A 4.580%, 10/25/23(1)(2) | $36 | $36 | |
Total Mortgage-Backed Security (Identified Cost $36) | 36 | ||
Corporate Bonds and Notes—87.7% | |||
Communication Services—13.3% | |||
Altice France Holding S.A. 144A 6.000%, 2/15/28(1) | 200 | 199 | |
Altice France S.A. 144A 5.125%, 7/15/29(1) | 200 | 201 | |
Cars.com, Inc. 144A 6.375%, 11/1/28(1) | 295 | 315 | |
CCO Holdings LLC | |||
144A 5.125%, 5/1/27(1) | 350 | 367 | |
144A 4.750%, 3/1/30(1) | 325 | 344 | |
Cincinnati Bell, Inc. 144A 7.000%, 7/15/24(1) | 265 | 272 | |
Cinemark USA, Inc. 144A 5.875%, 3/15/26(1) | 295 | 309 | |
Clear Channel Outdoor Holdings, Inc. 144A 7.750%, 4/15/28(1) | 5 | 5 | |
Clear Channel Worldwide Holdings, Inc. 144A 5.125%, 8/15/27(1) | 100 | 102 | |
CSC Holdings LLC 144A 5.750%, 1/15/30(1) | 600 | 623 | |
Diamond Sports Group LLC | |||
144A 5.375%, 8/15/26(1) | 105 | 68 | |
144A 6.625%, 8/15/27(1)(3) | 280 | 137 | |
DISH DBS Corp. 7.750%, 7/1/26 | 325 | 368 | |
Frontier Communications Holdings LLC 144A 6.750%, 5/1/29(1) | 390 | 415 | |
iHeartCommunications, Inc. 8.375%, 5/1/27 | 272 | 291 | |
Level 3 Financing, Inc. 144A 3.625%, 1/15/29(1) | 465 | 449 | |
Live Nation Entertainment, Inc. | |||
144A 5.625%, 3/15/26(1) | 290 | 302 | |
144A 4.750%, 10/15/27(1) | 195 | 202 | |
McGraw-Hill Global Education Holdings LLC Senior Unsecured Notes 144A 7.875%, 5/15/24(1) | 210 | 214 | |
Northwest Fiber LLC 144A 10.750%, 6/1/28(1) | 265 | 298 | |
Radiate Holdco LLC | |||
144A 4.500%, 9/15/26(1) | 140 | 145 | |
144A 6.500%, 9/15/28(1) | 235 | 247 | |
Telesat Canada | |||
144A 5.625%, 12/6/26(1) | 25 | 25 | |
144A 6.500%, 10/15/27(1) | 575 | 548 | |
TripAdvisor, Inc. 144A 7.000%, 7/15/25(1) | 280 | 301 | |
Twitter, Inc. 144A 3.875%, 12/15/27(1) | 300 | 319 | |
Univision Communications, Inc. | |||
144A 5.125%, 2/15/25(1) | 325 | 332 | |
144A 9.500%, 5/1/25(1) | 85 | 94 |
Par Value | Value | ||
Communication Services—continued | |||
UPC Broadband Finco B.V. 144A 4.875%, 7/15/31(1) | $595 | $596 | |
8,088 | |||
Consumer Discretionary—16.6% | |||
Adtalem Global Education, Inc. 144A 5.500%, 3/1/28(1) | 410 | 416 | |
Ambience Merger Sub, Inc. | |||
144A 4.875%, 7/15/28(1) | 75 | 75 | |
144A 7.125%, 7/15/29(1) | 315 | 318 | |
American Axle & Manufacturing, Inc. 6.500%, 4/1/27(3) | 325 | 345 | |
Aston Martin Capital Holdings Ltd. 144A 10.500%, 11/30/25(1) | 320 | 356 | |
Caesars Entertainment, Inc. | |||
144A 6.250%, 7/1/25(1) | 135 | 143 | |
144A 8.125%, 7/1/27(1) | 105 | 117 | |
Carnival Corp. 144A 7.625%, 3/1/26(1) | 40 | 44 | |
Carriage Services, Inc. 144A 4.250%, 5/15/29(1) | 275 | 275 | |
Carvana Co. | |||
144A 5.625%, 10/1/25(1) | 235 | 244 | |
144A 5.875%, 10/1/28(1) | 120 | 126 | |
Clarios Global LP 144A 8.500%, 5/15/27(1) | 255 | 278 | |
Downstream Development Authority of the Quapaw Tribe of Oklahoma 144A 10.500%, 2/15/23(1) | 280 | 292 | |
Ford Motor Co. | |||
9.000%, 4/22/25 | 108 | 133 | |
9.625%, 4/22/30 | 69 | 99 | |
Ford Motor Credit Co. LLC 4.125%, 8/17/27 | 200 | 212 | |
Gateway Casinos & Entertainment Ltd. 144A 8.250%, 3/1/24(1) | 315 | 315 | |
Golden Nugget, Inc. 144A 8.750%, 10/1/25(1)(3) | 260 | 274 | |
Goodyear Tire & Rubber Co. (The) | |||
144A 5.000%, 7/15/29(1) | 60 | 63 | |
144A 5.250%, 7/15/31(1) | 100 | 105 | |
Hilton Grand Vacations Borrower Escrow LLC 144A 5.000%, 6/1/29(1) | 300 | 307 | |
International Game Technology plc 144A 6.250%, 1/15/27(1) | 200 | 228 | |
LCM Investments Holdings II LLC 144A 4.875%, 5/1/29(1) | 20 | 21 | |
Legends Hospitality Holding Co. LLC 144A 5.000%, 2/1/26(1) | 310 | 323 | |
M/I Homes, Inc. 4.950%, 2/1/28 | 280 | 292 | |
Magic Mergeco, Inc. | |||
144A 5.250%, 5/1/28(1) | 35 | 36 | |
144A 7.875%, 5/1/29(1) | 100 | 103 | |
Marriott Ownership Resorts, Inc. 4.750%, 1/15/28 | 295 | 302 | |
Metis Merger Sub LLC 144A 6.500%, 5/15/29(1) | 200 | 197 | |
Mohegan Gaming & Entertainment 144A 8.000%, 2/1/26(1) | 295 | 308 | |
NCL Corp., Ltd. 144A 5.875%, 3/15/26(1) | 195 | 204 |
See Notes to Schedule of Investments
1
VIRTUS Newfleet High Yield Fund
SCHEDULE OF INVESTMENTS (Unaudited) (Continued)
June 30, 2021
($ reported in thousands)
Par Value | Value | ||
Consumer Discretionary—continued | |||
NCL Finance Ltd. 144A 6.125%, 3/15/28(1) | $90 | $94 | |
NMG Holding Co., Inc. 144A 7.125%, 4/1/26(1) | 290 | 310 | |
Peninsula Pacific Entertainment LLC 144A 8.500%, 11/15/27(1) | 50 | 54 | |
PetSmart, Inc. 144A 7.750%, 2/15/29(1) | 250 | 276 | |
Raptor Acquisition Corp. 144A 4.875%, 11/1/26(1) | 30 | 30 | |
Royal Caribbean Cruises Ltd. | |||
144A 9.125%, 6/15/23(1) | 225 | 247 | |
144A 4.250%, 7/1/26(1) | 170 | 170 | |
144A 5.500%, 4/1/28(1) | 30 | 31 | |
Scientific Games International, Inc. | |||
144A 8.250%, 3/15/26(1) | 120 | 129 | |
144A 7.000%, 5/15/28(1) | 160 | 175 | |
Station Casinos LLC 144A 4.500%, 2/15/28(1) | 335 | 341 | |
Tenneco, Inc. | |||
5.375%, 12/15/24 | 150 | 150 | |
144A 5.125%, 4/15/29(1) | 265 | 272 | |
Vista Outdoor, Inc. 144A 4.500%, 3/15/29(1) | 365 | 371 | |
Weekley Homes LLC 144A 4.875%, 9/15/28(1) | 310 | 321 | |
Wynn Macau Ltd. 144A 5.625%, 8/26/28(1) | 500 | 521 | |
10,043 | |||
Consumer Staples—4.8% | |||
Albertsons Cos., Inc. 144A 4.625%, 1/15/27(1) | 585 | 612 | |
Chobani LLC 144A 7.500%, 4/15/25(1) | 315 | 328 | |
Dole Food Co., Inc. 144A 7.250%, 6/15/25(1) | 325 | 332 | |
H-Food Holdings LLC 144A 8.500%, 6/1/26(1) | 270 | 282 | |
HLF Financing S.a.r.l. LLC 144A 4.875%, 6/1/29(1) | 270 | 272 | |
Post Holdings, Inc. 144A 4.500%, 9/15/31(1) | 385 | 384 | |
Triton Water Holdings, Inc. 144A 6.250%, 4/1/29(1) | 120 | 120 | |
Turning Point Brands, Inc. 144A 5.625%, 2/15/26(1) | 305 | 315 | |
Vector Group Ltd. 144A 5.750%, 2/1/29(1) | 290 | 295 | |
2,940 | |||
Energy—13.2% | |||
Alliance Resource Operating Partners LP 144A 7.500%, 5/1/25(1) | 285 | 278 | |
Antero Midstream Partners LP | |||
144A 7.875%, 5/15/26(1) | 150 | 168 | |
144A 5.750%, 1/15/28(1) | 340 | 358 | |
Antero Resources Corp. | |||
144A 8.375%, 7/15/26(1) | 120 | 136 | |
144A 7.625%, 2/1/29(1) | 105 | 117 | |
144A 5.375%, 3/1/30(1) | 100 | 102 |
Par Value | Value | ||
Energy—continued | |||
Ascent Resources Utica Holdings LLC 144A 8.250%, 12/31/28(1) | $310 | $341 | |
BP Capital Markets plc 4.875% (4) | 285 | 313 | |
Callon Petroleum Co. | |||
6.125%, 10/1/24 | 141 | 140 | |
144A 8.000%, 8/1/28(1) | 10 | 10 | |
Cheniere Energy, Inc. 144A 4.625%, 10/15/28(1) | 175 | 185 | |
Chesapeake Energy Corp. | |||
144A 5.500%, 2/1/26(1) | 320 | 338 | |
144A 5.875%, 2/1/29(1) | 60 | 65 | |
Citgo Holding, Inc. 144A 9.250%, 8/1/24(1) | 140 | 143 | |
Colgate Energy Partners III LLC 144A 5.875%, 7/1/29(1) | 50 | 52 | |
Coronado Finance Pty Ltd. 144A 10.750%, 5/15/26(1) | 310 | 330 | |
CrownRock LP | |||
144A 5.625%, 10/15/25(1) | 260 | 269 | |
144A 5.000%, 5/1/29(1) | 170 | 178 | |
CSI Compressco LP | |||
7.250%, 8/15/22 | 205 | 202 | |
144A 7.500%, 4/1/25(1) | 195 | 198 | |
Energy Transfer LP Series H 6.500% (4) | 295 | 301 | |
EQM Midstream Partners LP | |||
144A 6.000%, 7/1/25(1) | 75 | 82 | |
144A 6.500%, 7/1/27(1) | 90 | 100 | |
144A 4.500%, 1/15/29(1) | 60 | 61 | |
144A 4.750%, 1/15/31(1) | 60 | 62 | |
Hilcorp Energy I LP | |||
144A 5.750%, 2/1/29(1) | 195 | 203 | |
144A 6.000%, 2/1/31(1) | 195 | 207 | |
Indigo Natural Resources LLC 144A 5.375%, 2/1/29(1) | 300 | 313 | |
Kosmos Energy Ltd. 144A 7.500%, 3/1/28(1)(3) | 365 | 360 | |
Magnolia Oil & Gas Operating LLC 144A 6.000%, 8/1/26(1) | 235 | 242 | |
Mesquite Energy, Inc. 144A 7.250%, 2/15/23(1)(5) | 115 | 2 | |
Northriver Midstream Finance LP 144A 5.625%, 2/15/26(1) | 210 | 218 | |
Oasis Petroleum, Inc. 144A 6.375%, 6/1/26(1) | 25 | 26 | |
Occidental Petroleum Corp. | |||
5.875%, 9/1/25 | 130 | 145 | |
5.500%, 12/1/25 | 70 | 77 | |
3.500%, 8/15/29 | 260 | 261 | |
6.625%, 9/1/30 | 265 | 318 | |
6.125%, 1/1/31 | 115 | 135 | |
Parsley Energy LLC 144A 4.125%, 2/15/28(1) | 175 | 184 | |
Patterson-UTI Energy, Inc. 5.150%, 11/15/29 | 300 | 314 | |
Targa Resources Partners LP 144A 4.875%, 2/1/31(1) | 120 | 130 | |
Transocean, Inc. 144A 11.500%, 1/30/27(1) | 143 | 153 |
See Notes to Schedule of Investments
2
VIRTUS Newfleet High Yield Fund
SCHEDULE OF INVESTMENTS (Unaudited) (Continued)
June 30, 2021
($ reported in thousands)
Par Value | Value | ||
Energy—continued | |||
USA Compression Partners LP 6.875%, 4/1/26 | $170 | $178 | |
7,995 | |||
Financials—5.8% | |||
Acrisure LLC | |||
144A 7.000%, 11/15/25(1) | 240 | 245 | |
144A 4.250%, 2/15/29(1) | 280 | 276 | |
Ally Financial, Inc. Series B 4.700% (4) | 255 | 264 | |
BroadStreet Partners, Inc. 144A 5.875%, 4/15/29(1) | 300 | 306 | |
Burford Capital Global Finance LLC 144A 6.250%, 4/15/28(1) | 295 | 310 | |
Icahn Enterprises LP | |||
6.250%, 5/15/26 | 220 | 233 | |
Series KK 144A 5.250%, 5/15/27(1) | 15 | 15 | |
Ladder Capital Finance Holdings LLLP 144A 4.250%, 2/1/27(1) | 350 | 350 | |
Midcap Financial Issuer Trust 144A 6.500%, 5/1/28(1) | 400 | 419 | |
Navient Corp. 5.875%, 10/25/24 | 185 | 200 | |
OneMain Finance Corp. 6.875%, 3/15/25 | 370 | 418 | |
Prospect Capital Corp. 3.706%, 1/22/26 | 455 | 467 | |
3,503 | |||
Health Care—8.3% | |||
Akumin, Inc. 144A 7.000%, 11/1/25(1) | 320 | 332 | |
Bausch Health Americas, Inc. | |||
144A 9.250%, 4/1/26(1) | 135 | 147 | |
144A 8.500%, 1/31/27(1) | 270 | 293 | |
Cheplapharm Arzneimittel GmbH 144A 5.500%, 1/15/28(1) | 585 | 600 | |
Community Health Systems, Inc. | |||
144A 6.625%, 2/15/25(1) | 280 | 296 | |
144A 6.875%, 4/15/29(1) | 25 | 26 | |
144A 6.125%, 4/1/30(1) | 60 | 61 | |
144A 4.750%, 2/15/31(1) | 160 | 161 | |
DaVita, Inc. 144A 4.625%, 6/1/30(1) | 285 | 293 | |
Encompass Health Corp. 4.500%, 2/1/28 | 285 | 296 | |
Endo Dac 144A 9.500%, 7/31/27(1)(3) | 50 | 51 | |
Jaguar Holding Co. II 144A 5.000%, 6/15/28(1) | 215 | 233 | |
Lannett Co., Inc. 144A 7.750%, 4/15/26(1) | 105 | 104 | |
Legacy LifePoint Health LLC | |||
144A 6.750%, 4/15/25(1) | 5 | 5 | |
144A 4.375%, 2/15/27(1) | 290 | 293 | |
Ortho-Clinical Diagnostics, Inc. | |||
144A 7.375%, 6/1/25(1) | 84 | 90 | |
144A 7.250%, 2/1/28(1) | 81 | 88 | |
Par Pharmaceutical, Inc. 144A 7.500%, 4/1/27(1) | 256 | 262 |
Par Value | Value | ||
Health Care—continued | |||
Prime Healthcare Services, Inc. 144A 7.250%, 11/1/25(1) | $45 | $49 | |
Surgery Center Holdings, Inc. | |||
144A 6.750%, 7/1/25(1) | 180 | 184 | |
144A 10.000%, 4/15/27(1) | 130 | 143 | |
Team Health Holdings, Inc. 144A 6.375%, 2/1/25(1) | 310 | 295 | |
Tenet Healthcare Corp. | |||
144A 4.875%, 1/1/26(1) | 180 | 187 | |
144A 6.250%, 2/1/27(1) | 130 | 136 | |
144A 5.125%, 11/1/27(1) | 60 | 63 | |
144A 7.500%, 4/1/25(1) | 80 | 86 | |
Teva Pharmaceutical Finance Netherlands III B.V. 3.150%, 10/1/26 | 245 | 233 | |
5,007 | |||
Industrials—8.2% | |||
Allied Universal Holdco LLC 144A 6.625%, 7/15/26(1) | 380 | 403 | |
American Airlines Group, Inc. 144A 5.000%, 6/1/22(1) | 190 | 190 | |
American Airlines, Inc. | |||
144A 11.750%, 7/15/25(1) | 530 | 665 | |
144A 5.500%, 4/20/26(1) | 55 | 58 | |
144A 5.750%, 4/20/29(1) | 20 | 22 | |
BCPE Ulysses Intermediate, Inc. PIK 144A 7.750%, 4/1/27(1)(6) | 305 | 313 | |
Boeing Co. (The) 5.930%, 5/1/60 | 231 | 319 | |
Bombardier, Inc. 144A 7.500%, 12/1/24(1) | 155 | 162 | |
Cleaver-Brooks, Inc. 144A 7.875%, 3/1/23(1) | 300 | 297 | |
CP Atlas Buyer, Inc. 144A 7.000%, 12/1/28(1) | 290 | 300 | |
Delta Air Lines, Inc. 3.750%, 10/28/29 | 315 | 314 | |
Deluxe Corp. 144A 8.000%, 6/1/29(1) | 150 | 163 | |
Fortress Transportation & Infrastructure Investors LLC 144A 6.500%, 10/1/25(1) | 235 | 244 | |
Fortress Transportation and Infrastructure Investors LLC 144A 9.750%, 8/1/27(1) | 40 | 46 | |
Icahn Enterprises LP 5.250%, 5/15/27 | 265 | 274 | |
LBM Acquisition LLC 144A 6.250%, 1/15/29(1) | 160 | 161 | |
Spirit AeroSystems, Inc. 144A 5.500%, 1/15/25(1) | 290 | 308 | |
Titan Acquisition Ltd. 144A 7.750%, 4/15/26(1) | 295 | 306 | |
TransDigm, Inc. | |||
144A 6.250%, 3/15/26(1) | 115 | 121 | |
5.500%, 11/15/27 | 205 | 214 | |
United Airlines, Inc. | |||
144A 4.375%, 4/15/26(1) | 45 | 47 | |
144A 4.625%, 4/15/29(1) | 45 | 47 | |
4,974 | |||
See Notes to Schedule of Investments
3
VIRTUS Newfleet High Yield Fund
SCHEDULE OF INVESTMENTS (Unaudited) (Continued)
June 30, 2021
($ reported in thousands)
Par Value | Value | ||
Information Technology—5.9% | |||
Banff Merger Sub, Inc. 144A 9.750%, 9/1/26(1) | $170 | $179 | |
Elastic N.V. 144A 4.125%, 7/15/29(1) | 45 | 45 | |
ION Trading Technologies S.a.r.l. 144A 5.750%, 5/15/28(1) | 200 | 207 | |
J2 Global, Inc. 144A 4.625%, 10/15/30(1) | 335 | 347 | |
MicroStrategy, Inc. 144A 6.125%, 6/15/28(1)(3) | 205 | 205 | |
NCR Corp. 144A 5.125%, 4/15/29(1) | 315 | 325 | |
Plantronics, Inc. 144A 4.750%, 3/1/29(1) | 305 | 303 | |
Rocket Software, Inc. 144A 6.500%, 2/15/29(1) | 295 | 293 | |
Science Applications International Corp. 144A 4.875%, 4/1/28(1) | 435 | 456 | |
SS&C Technologies, Inc. 144A 5.500%, 9/30/27(1) | 300 | 318 | |
Veritas US, Inc. 144A 7.500%, 9/1/25(1) | 290 | 302 | |
Viasat, Inc. 144A 5.625%, 9/15/25(1) | 305 | 311 | |
Xerox Holdings Corp. 144A 5.500%, 8/15/28(1) | 295 | 306 | |
3,597 | |||
Materials—7.5% | |||
ARD Finance S.A. PIK 144A 6.500%, 6/30/27(1)(7) | 595 | 625 | |
Chemours Co. (The) 144A 5.750%, 11/15/28(1) | 280 | 299 | |
Cleveland-Cliffs, Inc. | |||
7.000%, 3/15/27 | 170 | 179 | |
144A 6.750%, 3/15/26(1) | 115 | 124 | |
CVR Partners LP 144A 6.125%, 6/15/28(1) | 10 | 10 | |
Freeport-McMoRan, Inc. 5.450%, 3/15/43 | 235 | 287 | |
Hecla Mining Co. 7.250%, 2/15/28 | 305 | 333 | |
INEOS Group Holdings S.A. 144A 5.625%, 8/1/24(1) | 315 | 316 | |
Louisiana-Pacific Corp. 144A 3.625%, 3/15/29(1) | 445 | 448 | |
Mauser Packaging Solutions Holding Co. 144A 7.250%, 4/15/25(1) | 455 | 446 | |
Taseko Mines Ltd. 144A 7.000%, 2/15/26(1) | 310 | 323 | |
Teck Resources Ltd. 6.125%, 10/1/35 | 265 | 341 | |
Trident TPI Holdings, Inc. | |||
144A 9.250%, 8/1/24(1) | 150 | 157 | |
144A 6.625%, 11/1/25(1) | 265 | 272 | |
United States Steel Corp. | |||
6.250%, 3/15/26(3) | 235 | 242 | |
6.875%, 3/1/29 | 155 | 166 | |
4,568 | |||
Par Value | Value | ||
Real Estate—2.6% | |||
Iron Mountain, Inc. 144A 4.875%, 9/15/29(1) | $315 | $325 | |
iStar, Inc. 4.250%, 8/1/25 | 290 | 298 | |
MPT Operating Partnership LP 3.500%, 3/15/31 | 315 | 318 | |
Service Properties Trust 7.500%, 9/15/25 | 270 | 306 | |
Uniti Group LP 144A 7.125%, 12/15/24(1) | 300 | 310 | |
1,557 | |||
Utilities—1.5% | |||
Ferrellgas LP | |||
144A 5.375%, 4/1/26(1) | 90 | 89 | |
144A 5.875%, 4/1/29(1) | 90 | 89 | |
PG&E Corp. 5.250%, 7/1/30 | 295 | 298 | |
Talen Energy Supply LLC 144A 6.625%, 1/15/28(1) | 205 | 188 | |
TerraForm Power Operating LLC 144A 5.000%, 1/31/28(1) | 240 | 254 | |
918 | |||
Total Corporate Bonds and Notes (Identified Cost $51,245) | 53,190 | ||
Leveraged Loans—7.4% | |||
Aerospace—0.9% | |||
American Airlines, Inc. (3 month LIBOR + 4.750%) 5.500%, 4/20/28(2) | 50 | 52 | |
Mileage Plus Holdings, LLC (3 month LIBOR + 5.250%) 6.250%, 6/21/27(2) | 295 | 315 | |
United AirLines, Inc. Tranche B (3 month LIBOR + 3.750%) 4.500%, 4/21/28(2) | 185 | 187 | |
554 | |||
Consumer Non-Durables—0.3% | |||
Parfums Holding Co., Inc. First Lien (1 month LIBOR + 4.000%) 4.104%, 6/30/24(2) | 167 | 167 | |
Energy—0.7% | |||
CITGO Petroleum Corp. 2019, Tranche B (3 month LIBOR + 6.250%) 7.250%, 3/28/24(2) | 85 | 85 | |
Fieldwood Energy LLC First Lien (3 month LIBOR + 4.250%) 7.500%, 4/11/22(2)(8) | 245 | 127 | |
Traverse Midstream Partners LLC (1 month LIBOR + 5.500%) 6.500%, 9/27/24(2) | 190 | 191 | |
403 | |||
See Notes to Schedule of Investments
4
VIRTUS Newfleet High Yield Fund
SCHEDULE OF INVESTMENTS (Unaudited) (Continued)
June 30, 2021
($ reported in thousands)
Par Value | Value | ||
Financial—0.3% | |||
Asurion LLC Tranche B3, Second Lien (1 month LIBOR + 5.250%) 5.354%, 1/31/28(2) | $175 | $176 | |
Forest Prod / Containers—0.3% | |||
Klockner Pentaplast of America, Inc. Tranche B (3 month LIBOR + 4.750%) 5.250%, 2/12/26(2) | 214 | 215 | |
Gaming / Leisure—0.6% | |||
ECL Entertainment LLC Tranche B (1 month LIBOR + 7.500%) 8.250%, 3/31/28(2) | 115 | 117 | |
Playa Resorts Holding B.V. (1 month LIBOR + 2.750%) 3.750%, 4/29/24(2) | 241 | 232 | |
349 | |||
Healthcare—1.6% | |||
Ani Pharmaceuticals, Inc. Tranche B (3 month LIBOR + 6.000%) 0.000%, 5/24/27(2)(9) | 300 | 295 | |
Envision Healthcare Corp. (1 month LIBOR + 3.750%) 3.854%, 10/10/25(2) | 133 | 113 | |
One Call Corp. Tranche B, First Lien (3 month LIBOR + 5.500%) 6.250%, 4/22/27(2) | 260 | 263 | |
Viant Medical Holdings, Inc. First Lien (1 month LIBOR + 3.750%) 3.854%, 7/2/25(2) | 321 | 311 | |
982 | |||
Information Technology—0.3% | |||
Infinite Bidco LLC Second Lien (1 month LIBOR + 7.000%) 7.500%, 2/24/29(2) | 175 | 176 | |
Ultimate Software Group, Inc. (The) Second Lien (3 month LIBOR + 6.750%) 7.500%, 5/3/27(2) | 15 | 15 | |
191 | |||
Manufacturing—0.4% | |||
Arcline FM Holdings LLC | |||
First Lien (3 month LIBOR + 4.750%) 5.500%, 6/23/28(2) | 120 | 120 | |
Second Lien (3 month LIBOR + 8.250%) 9.000%, 6/15/29(2) | 120 | 120 | |
240 | |||
Media / Telecom - Cable/Wireless Video—0.3% | |||
Intelsat Jackson Holdings S.A. Tranche B-5 8.625%, 1/2/24(8) | 186 | 189 | |
Media / Telecom - Telecommunications—0.3% | |||
Securus Technologies Holdings, Inc. First Lien (3 month LIBOR + 4.500%) 5.500%, 11/1/24(2) | 204 | 191 |
Par Value | Value | ||
Service—1.0% | |||
Carlisle Foodservice Products, Inc. First Lien (6 month LIBOR + 3.000%) 4.000%, 3/20/25(2) | $79 | $77 | |
Dun & Bradstreet Corp. (The) Tranche B (1 month LIBOR + 3.250%) 3.345%, 2/6/26(2) | 148 | 147 | |
Grab Holdings, Inc. (3 month LIBOR + 4.500%) 5.500%, 1/29/26(2) | 384 | 390 | |
614 | |||
Transportation - Automotive—0.4% | |||
Cooper-Standard Automotive, Inc. Tranche B-1 (1 month LIBOR + 2.000%) 2.750%, 11/2/23(2) | 254 | 248 | |
Total Leveraged Loans (Identified Cost $4,541) | 4,519 | ||
Shares | ||
Preferred Stocks—0.8% | ||
Financials—0.8% | ||
Capital Farm Credit ACA Series 1 144A, 5.000%(1) | 250(10) | 260 |
Citigroup, Inc. Series T, 6.250% | 190(10) | 222 |
482 | ||
Total Preferred Stocks (Identified Cost $442) | 482 | |
Common Stocks—0.4% | ||
Communication Services—0.1% | ||
Clear Channel Outdoor Holdings, Inc. Class A(11) | 7,282 | 19 |
Consumer Discretionary—0.3% | ||
MYT Holding LLC Class B | 33,144 | 178 |
Energy—0.0% | ||
Frontera Energy Corp.(11) | 1,088 | 7 |
Financials—0.0% | ||
Neiman Marcus Group, Inc.(11) | 116 | 14 |
Total Common Stocks (Identified Cost $259) | 218 | |
Rights—0.0% | ||
Utilities—0.0% | ||
Vistra Energy Corp.(5)(11) | 8,563 | 10 |
Total Rights (Identified Cost $7) | 10 | |
Total Long-Term Investments—96.4% (Identified Cost $56,530) | 58,455 | |
See Notes to Schedule of Investments
5
VIRTUS Newfleet High Yield Fund
SCHEDULE OF INVESTMENTS (Unaudited) (Continued)
June 30, 2021
($ reported in thousands)
Shares | Value | ||
Short-Term Investment—1.9% | |||
Money Market Mutual Fund—1.9% | |||
Dreyfus Government Cash Management Fund - Institutional Shares (seven-day effective yield 0.030%)(12) | 1,173,133 | $1,173 | |
Total Short-Term Investment (Identified Cost $1,173) | 1,173 | ||
Securities Lending Collateral—2.0% | |||
Dreyfus Government Cash Management Fund - Institutional Shares (seven-day effective yield 0.030%)(12)(13) | 1,182,288 | 1,182 | |
Total Securities Lending Collateral (Identified Cost $1,182) | 1,182 | ||
TOTAL INVESTMENTS—100.3% (Identified Cost $58,885) | $60,810 | ||
Other assets and liabilities, net—(0.3)% | (192) | ||
NET ASSETS—100.0% | $60,618 |
Abbreviations: | |
ACA | American Capital Access Financial Guarantee Corp. |
LIBOR | London Interbank Offered Rate |
LLC | Limited Liability Company |
LLLP | Limited Liability Limited Partnership |
LP | Limited Partnership |
PIK | Payment-in-Kind Security |
Footnote Legend: | |
(1) | Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At June 30, 2021, these securities amounted to a value of $42,910 or 70.8% of net assets. |
(2) | Variable rate security. Rate disclosed is as of June 30, 2021. Information in parenthesis represents benchmark and reference rate for each security. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions, or, for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their descriptions. |
(3) | All or a portion of security is on loan. |
(4) | No contractual maturity date. |
(5) | The value of this security was determined using significant unobservable inputs and is reported as a Level 3 security in the Fair Value Hierarchy table located after the Schedule of Investments. |
(6) | First pay date will be in October 2021. |
(7) | 100% of the income received was in cash. |
(8) | Security in default, interest payments are being received during the bankruptcy proceedings. |
(9) | This loan will settle after June 30, 2021, at which time the interest rate, based on the LIBOR and the agreed upon spread on trade date, will be reflected. |
(10) | Value shown as par value. |
(11) | Non-income producing. |
(12) | Shares of this fund are publicly offered, and its prospectus and annual report are publicly available. |
(13) | Represents security purchased with cash collateral received for securities on loan. |
Country Weightings† | |
United States | 85% |
Canada | 4 |
Luxembourg | 2 |
Netherlands | 2 |
Cayman Islands | 1 |
Germany | 1 |
United Kingdom | 1 |
Other | 4 |
Total | 100% |
† % of total investments as of June 30, 2021. |
See Notes to Schedule of Investments
6
VIRTUS Newfleet High Yield Fund
SCHEDULE OF INVESTMENTS (Unaudited) (Continued)
June 30, 2021
($ reported in thousands)
The following table summarizes the market value of the Fund’s investments as of June 30, 2021, based on the inputs used to value them (See Security Valuation Note 1 in the Notes to Schedule of Investments):
Total Value at June 30, 2021 | Level 1 Quoted Prices | Level 2 Significant Observable Inputs | Level 3 Significant Unobservable Inputs | ||||
Assets: | |||||||
Debt Securities: | |||||||
Corporate Bonds and Notes | $53,190 | $— | $53,188 | $2 | |||
Leveraged Loans | 4,519 | — | 4,519 | — | |||
Mortgage-Backed Security | 36 | — | 36 | — | |||
Equity Securities: | |||||||
Common Stocks | 218 | 26 | 192 | — | |||
Preferred Stocks | 482 | — | 482 | — | |||
Rights | 10 | — | — | 10 | |||
Securities Lending Collateral | 1,182 | 1,182 | — | — | |||
Money Market Mutual Fund | 1,173 | 1,173 | — | — | |||
Total Investments | $60,810 | $2,381 | $58,417 | $12 |
Securities held by the Fund with an end of period value of $12 were transferred from Level 2 to Level 3 due to a decrease in trading activities at period end.
Some of the Fund’s investments that were categorized as Level 3 were valued utilizing third party pricing information without adjustment. Such valuations are based on unobservable inputs. A significant change in third party information could result in a significantly lower or higher value of Level 3 investments.
Management has determined that the amount of Level 3 securities compared to total net assets is not material; therefore, the rollforward of Level 3 securities and assumptions are not shown for the period ended June 30, 2021.
See Notes to Schedule of Investments
7
VIRTUS NEWFLEET HIGH YIELD FUND
NOTES TO SCHEDULE OF INVESTMENTS (Unaudited)
June 30, 2021
Note 1. Security Valuation
The Fund utilizes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The Fund’s policy is to recognize transfers into or out of Level 3 at the end of the reporting period.
• | Level 1 – quoted prices in active markets for identical securities (security types generally include listed equities). |
• | Level 2 – prices determined using other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.). |
• | Level 3 – prices determined using significant unobservable inputs (including the Valuation Committee’s own assumptions in determining the fair value of investments). |
A description of the valuation techniques applied to the Fund’s major categories of assets and liabilities measured at fair value on a recurring basis is as follows:
Equity securities are valued at the official closing price (typically last sale) on the exchange on which the securities are primarily traded or, if no closing price is available, at the last bid price and are categorized as Level 1 in the hierarchy. Restricted equity securities and private placements that are illiquid or are internally fair valued by the Valuation Committee, are generally categorized as Level 3 in the hierarchy.
Certain non-U.S. securities may be fair valued in cases where closing prices are not readily available or are deemed not reflective of readily available market prices. For example, significant events (such as movement in the U.S. securities market, or other regional and local developments) may occur between the time that non-U.S. markets close (where the security is principally traded) and the time that the Funds calculates its net asset value (“NAV”) at the close of regular trading on the New York Stock Exchange (“NYSE”) (generally 4 p.m. Eastern time) that may impact the value of securities traded in these non-U.S. markets. In such cases, the Fund’s fair value non-U.S. securities using an independent pricing service which considers the correlation of the trading patterns of the non-U.S. security to the intraday trading in the U.S. markets for investments such as American Depository Receipts, financial futures, exchange-traded funds (“ETFs”), and certain indexes, as well as prices for similar securities. Such fair valuations are categorized as Level 2 in the hierarchy. Because the frequency of significant events is not predictable, fair valuation of certain non-U.S. common stocks may occur on a frequent basis.
Debt securities, including restricted securities, are valued based on evaluated quotations received from independent pricing services or from dealers who make markets in such securities. For most bond types, the pricing service utilizes matrix pricing that considers one or more of the following factors: yield or price of bonds of comparable quality, coupon, maturity, current cash flows, type, and current day trade information, as well as dealer supplied prices. These valuations are generally categorized as Level 2 in the hierarchy. Structured debt instruments, such as mortgage-backed and asset-backed securities may also incorporate collateral analysis and utilize cash flow models for valuation and are generally categorized as Level 2 in the hierarchy. Pricing services do not provide pricing for all securities and therefore indicative bids from dealers are utilized which are based on pricing models used by market makers in the security and are generally categorized as Level 2 in the hierarchy. Debt securities that are internally fair valued by the Valuation Committee are generally categorized as Level 3 in the hierarchy.
Listed derivatives, such as options, that are actively traded are valued based on quoted prices from the exchange and are categorized as Level 1 in the hierarchy. Over-the-counter derivative contracts, which include forward currency contracts and equity-linked instruments, do not require material subjectivity as pricing inputs are observed from actively quoted markets and are categorized as Level 2 in the hierarchy.
Investments in open-end mutual funds are valued at NAV. Investments in closed-end funds and ETFs are valued as of the close of regular trading on the NYSE each business day. Each is categorized as Level 1 in the hierarchy.
A summary of the inputs used to value the Fund’s net assets by each major security type is disclosed at the end of the Schedule of Investments for the Fund. The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
For additional information about significant accounting policies, refer to the Fund’s most recent semi or annual report.
8