UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number 811-23792
First Trust Private Credit Fund
(Exact name of registrant as specified in charter)
c/o UMB Fund Services, Inc.
235 West Galena Street
Milwaukee, WI 53212
(Address of principal executive offices) (Zip code)
Ann Maurer
235 West Galena Street
Milwaukee, WI 53212
(Name and address of agent for service)
registrant's telephone number, including area code: (414) 299-2270
Date of fiscal year end: March 31
Date of reporting period: September 30, 2023
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549-1090. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
ITEM 1.(a) REPORTS TO STOCKHOLDERS.
The Report to Shareholders is attached herewith.
| | | | | 1 | | | |
| | | | | 8 | | | |
| | | | | 9 | | | |
| | | | | 10 | | | |
| | | | | 11 | | | |
| | | | | 12 | | | |
| | | | | 13 | | | |
| | | | | 15 | | | |
| | | | | 30 | | | |
| | | | | 31 | | |
SCHEDULE OF INVESTMENTS
As of September 30, 2023 (Unaudited)
| Principal Amount | | | | | | Value | | ||||||
| | | | | | | BANK LOANS – 47.7% | | ||||||
| | $ | 450,000 | | | | Accordion Partners 11.889%, 8/29/20291 | | | | $ | 450,000 | | |
| | | 300,000 | | | | 11.910%, 8/29/20291 | | | | | 300,000 | | |
| | | 635,000 | | | | Alegeus Technologies Holding Corp. 13.360%, 9/5/20241 | | | | | 635,000 | | |
| | | 750,000 | | | | AP Core Holdings II LLC 10.946% (1-Month Term SOFR+550 basis points), 9/1/20272,3,4 | | | | | 730,665 | | |
| | | 435,430 | | | | Athos Merger Sub LLC 10.684% (1-Month Term SOFR+500 basis points), 7/31/20262,3,4 | | | | | 427,899 | | |
| | | 359,229 | | | | 13.934%, 7/31/20271,3,4 | | | | | 345,650 | | |
| | | 1,000,000 | | | | Black Rifle Coffee Company, LLC 13.200%, 12/31/20271 | | | | | 990,000 | | |
| | | 997,500 | | | | CPC/Cirtec Holdings, Inc. 11.492%, 1/30/20291 | | | | | 980,543 | | |
| | | 138,557 | | | | Dentive Capital, LLC 1.000%, 12/23/20281 | | | | | 135,966 | | |
| | | 280,740 | | | | 12.242%, 12/23/20281 | | | | | 275,490 | | |
| | | 997,333 | | | | ElectroRent 11.002%, 11/1/2024 | | | | | 964,920 | | |
| | | 472,031 | | | | Fingerpaint Group 12.092%, 12/20/20261 | | | | | 466,745 | | |
| | | 605,625 | | | | 12.092%, 12/20/20261 | | | | | 598,842 | | |
| | | 500,000 | | | | Florida Food Products LLC 10.446% (1-Month Term SOFR+500 basis points), 10/18/20282,3,4 | | | | | 431,250 | | |
| | | 1,698,762 | | | | Florida Marine 14.640%, 9/1/20251 | | | | | 1,715,749 | | |
| | | 1,000,000 | | | | Global IID Parent LLC 0.000% (1-Month Term SOFR+450 basis points), 12/16/20282,3,4 | | | | | 933,440 | | |
| | | 641,435 | | | | Grindr Capital, LLC 13.626%, 11/14/20271 | | | | | 640,601 | | |
| | | 244,598 | | | | H.W. Lochner LLC 12.168%, 7/2/20271 | | | | | 238,654 | | |
| | | 532,468 | | | | IDC Infusion Services 11.889%, 7/7/20281 | | | | | 521,818 | | |
| | | 1,467,532 | | | | 11.970%, 7/7/20281 | | | | | 1,438,182 | | |
| | | 2,750,000 | | | | IFRG Investor III LP 10.000%, 9/10/20261 | | | | | 2,750,000 | | |
| | | 1,094,465 | | | | Ivanti Software, Inc. 9.758% (3-Month Term SOFR+425 basis points), 12/1/20272,3,4 | | | | | 950,138 | | |
| | | 500,000 | | | | Monroe Capital Corp. 1.000%, 12/20/20281 | | | | | 500,000 | | |
| | | 498,750 | | | | 12.253%, 12/20/20281 | | | | | 498,750 | | |
| | | 997,500 | | | | Neptune Bidco US, Inc. 10.398% (1-Month Term SOFR+500 basis points), 4/11/20292,3,4 | | | | | 901,286 | | |
SCHEDULE OF INVESTMENTS — Continued
As of September 30, 2023 (Unaudited)
| Principal Amount | | | | | | Value | | ||||||
| | | | | | | BANK LOANS (Continued) | | ||||||
| | $ | 1,574,468 | | | | Orthopaedic (ITC) Buyer LLC 12.253%, 7/31/20281 | | | | $ | 1,542,979 | | |
| | | 425,532 | | | | 12.253%, 7/31/20281 | | | | | 417,021 | | |
| | | 517,241 | | | | PhyNet Dermatology LLC 11.493%, 8/16/20241 | | | | | 517,241 | | |
| | | 982,759 | | | | 11.872%, 8/16/20241 | | | | | 982,759 | | |
| | | 750,000 | | | | Priority Holdings LLC 10.946% (1-Month Term SOFR+575 basis points), 4/22/20272,3,4 | | | | | 749,063 | | |
| | | 1,415,594 | | | | Project Castle, Inc. 10.080% (3-Month Term SOFR+550 basis points), 6/1/20292,3,4 | | | | | 1,263,417 | | |
| | | 417,900 | | | | Project Leopard Holdings, Inc. 10.719% (3-Month Term SOFR+525 basis points), 7/20/20292,3,4 | | | | | 371,931 | | |
| | | 250,000 | | | | Shryne Group, Inc. 16.500%, 5/26/20261 | | | | | 250,000 | | |
| | | 988,633 | | | | South Florida ENT Associates 12.342%, 3/25/20251 | | | | | 965,400 | | |
| | | 1,750,000 | | | | Steward Health Care System, LLC 16.182%, 12/31/20271 | | | | | 1,693,125 | | |
| | | 235,036 | | | | Stronghold Digital Mining, Inc. 15.318%, 11/16/20251 | | | | | 226,810 | | |
| | | 375,000 | | | | TA/WEG Holdings LLC 12.253%, 10/2/20271 | | | | | 369,375 | | |
| | | 250,508 | | | | 12.253%, 10/4/20271 | | | | | 246,750 | | |
| | | 374,492 | | | | 12.253%, 10/4/20271 | | | | | 368,875 | | |
| | | 886,931 | | | | Tank Holding Corp. 11.181%, 3/31/2028 | | | | | 862,682 | | |
| | | 15,409 | | | | 11.750%, 3/31/2028 | | | | | 14,956 | | |
| | | 698,250 | | | | 11.415%, 5/11/2029 | | | | | 679,488 | | |
| | | 300,000 | | | | 11.750%, 5/11/2029 | | | | | 291,939 | | |
| | | 214,991 | | | | Taoglas Group Holdings Limited 0.500%, 2/28/20291 | | | | | 211,272 | | |
| | | 783,046 | | | | 12.242%, 2/28/20291 | | | | | 769,500 | | |
| | | | | | | TOTAL BANK LOANS (Cost $31,245,725) | | | | | 31,616,171 | | |
|
SCHEDULE OF INVESTMENTS — Continued
As of September 30, 2023 (Unaudited)
| Principal Amount | | | | | | Value | | ||||||
| | | | COLLATERALIZED LOAN OBLIGATIONS – 36.5% | | |||||||||
| | $ | 87,628 | | | | Ares Capital 2023-1 0.000%, 7/11/20331 | | | | $ | 88,459 | | |
| | | 500,000 | | | | Antares Loan Funding CLO 0.000%, 2/17/20321 | | | | | 548,074 | | |
| | | 750,000 | | | | Barings CLO Ltd. Series 2018-3A, Class E, 11.338% (3-Month Term SOFR+601 basis points), 7/20/20292,3,4,5 | | | | | 702,501 | | |
| | | 250,000 | | | | Carlyle Global Market Strategies Ltd. Series 2014-1A, Class DR, 8.170% (3-Month Term SOFR+286 basis points), 4/17/20312,3,4,5 | | | | | 235,778 | | |
| | | 500,000 | | | | Series 2014-3RA, Class C, 8.569% (3-Month Term SOFR+321 basis points), 7/27/20312,3,4,5 | | | | | 469,383 | | |
| | | 500,000 | | | | Cedar Funding XVII CLO Ltd. Series 2023-17A, Class E, 13.586% (3-Month Term SOFR+816 basis points), 7/20/20362,3,4,5 | | | | | 507,994 | | |
| | | 250,000 | | | | CIFC Funding 2018-II Ltd. Series 2018-2A, Class C, 8.438% (3-Month Term SOFR+311 basis points), 4/20/20312,3,4,5 | | | | | 245,716 | | |
| | | 500,000 | | | | CIFC Funding Ltd. Series 2017-3A, Class C, 9.238% (3-Month Term SOFR+391 basis points), 7/20/20302,3,4,5 | | | | | 497,684 | | |
| | | 875,000 | | | | Series 2018-2A, Class D, 11.438% (3-Month Term SOFR+611 basis points), 4/20/20312,3,4,5 | | | | | 830,054 | | |
| | | 500,000 | | | | Clear Creek CLO Series 2015-1A, Class DR, 8.538% (3-Month Term SOFR+321 basis points), 10/20/20302,3,4,5 | | | | | 491,406 | | |
| | | 500,000 | | | | Dryden 106 CLO Ltd. Series 2022-106A, Class D, 11.008% (3-Month Term SOFR+570 basis points), 10/15/20352,3,4,5 | | | | | 510,375 | | |
| | | 500,000 | | | | Dryden 30 Senior Loan Fund Series 2013-30A, Class DR, 8.226% (3-Month Term SOFR+286 basis points), 11/15/20282,3,4,5 | | | | | 484,648 | | |
| | | 500,000 | | | | Generate XII CLO Ltd. Series 2023-12A, Class E, 13.739% (3-Month Term SOFR+840 basis points), 7/20/20362,3,4,5 | | | | | 501,537 | | |
| | | 500,000 | | | | Gilbert Park CLO Ltd. Series 2017-1A, Class D, 8.520% (3-Month Term SOFR+321 basis points), 10/15/20302,3,4,5 | | | | | 494,512 | | |
| | | 500,000 | | | | HPS Loan Management Ltd. Series 8A-2016, Class DR, 8.488% (3-Month Term SOFR+316 basis points), 7/20/20302,3,4,5 | | | | | 474,889 | | |
| | | 500,000 | | | | Invesco U.S. CLO Ltd. Series 2023-3A, Class E, 13.579% (3-Month Term SOFR+816 basis points), 7/15/20362,3,4,5 | | | | | 507,948 | | |
SCHEDULE OF INVESTMENTS — Continued
As of September 30, 2023 (Unaudited)
| Principal Amount | | | | | | Value | | ||||||
| | | | COLLATERALIZED LOAN OBLIGATIONS (Continued) | | |||||||||
| | $ | 1,926,983 | | | | Mount Logan Funding LP Series 2018-1A, Class SUBR, 0.000%, 1/22/20332,4,5,6 | | | | $ | 1,577,847 | | |
| | | 935,000 | | | | Neuberger Berman CLO XXII Ltd. Series 2016-22A, Class DR, 8.670% (3-Month Term SOFR+336 basis points), 10/17/20302,3,4,5 | | | | | 918,092 | | |
| | | 500,000 | | | | Newark BSL CLO 2 Ltd. Series 2017-1A, Class CR, 8.763% (3-Month Term SOFR+341 basis points), 7/25/20302,3,4,5 | | | | | 483,064 | | |
| | | 500,000 | | | | Octagon Investment Partners 33 Ltd. Series 2017-1A, Class C, 8.338% (3-Month Term SOFR+301 basis points), 1/20/20312,3,4,5 | | | | | 470,928 | | |
| | | 800,000 | | | | OSD CLO Ltd. Series 2023-27A, Class E, 13.303% (3-Month Term SOFR+825 basis points), 4/16/20352,3,4,5 | | | | | 800,161 | | |
| | | 500,000 | | | | OZLM VII Ltd. Series 2014-7RA, Class DR, 11.680% (3-Month Term SOFR+637 basis points), 7/17/20292,3,4,5 | | | | | 463,423 | | |
| | | 500,000 | | | | OZLM XXII, Ltd. Series 2018-22A, Class C, 8.220% (3-Month Term SOFR+291 basis points), 1/17/20312,3,4,5 | | | | | 474,075 | | |
| | | 600,000 | | | | Palmer Square European Loan Funding Series 2023-1A, Class SUB, 0.000%, 11/15/20322,4,5,6 | | | | | 578,565 | | |
| | | 300,000 | | | | Series 2023-1X, Class E, 10.311% (3-Month Euribor+653 basis points), 11/15/20322,3,4,6 | | | | | 308,446 | | |
| | | 900,000 | | | | Series 2023-2X, Class SUB, 0.000%, 1/15/20332,4,6 | | | | | 956,551 | | |
| | | 1,050,000 | | | | Series 2023-1X, Class SUB, 0.000%, 7/15/20362,4,6 | | | | | 1,054,551 | | |
| | | 825,000 | | | | Palmer Square Loan Funding Ltd. Series 2023-1A, Class SUB, 0.000%, 7/20/20312,4,5,6 | | | | | 888,496 | | |
| | | 750,000 | | | | Series 2023-1A, Class D, 13.255% (3-Month Term SOFR+800 basis points), 7/20/20312,3,4,5,6 | | | | | 751,546 | | |
| | | 450,000 | | | | Series 2022-4A, Class SUB, 0.000%, 7/24/20312,4,5,6 | | | | | 404,323 | | |
| | | 300,000 | | | | Series 2022-4A, Class D, 12.636% (3-Month Term SOFR+729 basis points), 7/24/20312,3,4,5,6 | | | | | 297,759 | | |
| | | 1,250,000 | | | | Series 2023-4A, Class SUB, 0.000%, 10/20/20332,4,5,6 | | | | | 1,250,000 | | |
| | | 500,000 | | | | Series 2023-2A, Class SUB, 0.000%, 4/20/20362,4,5,6 | | | | | 501,027 | | |
| | | 500,000 | | | | Regatta XXV Funding Ltd. Series 2023-1A, Class E, 13.664% (3-Month Term SOFR+841 basis points), 7/15/20362,3,4,5 | | | | | 506,185 | | |
| | | 638,000 | | | | Signal Peak CLO 5 Ltd. Series 2018-5A, Class D, 8.263% (3-Month Term SOFR+291 basis points), 4/25/20312,3,4,5 | | | | | 613,506 | | |
| | | 500,000 | | | | Sound Point CLO XVII Ltd. Series 2017-3A, Class C, 8.588% (3-Month Term SOFR+326 basis points), 10/20/20302,3,4,5 | | | | | 444,409 | | |
SCHEDULE OF INVESTMENTS — Continued
As of September 30, 2023 (Unaudited)
| Principal Amount | | | | | | Value | | ||||||
| | | | COLLATERALIZED LOAN OBLIGATIONS (Continued) | | |||||||||
| | $ | 500,000 | | | | Stratus CLO 2022-1 Ltd. Series 2022-1A, Class E, 12.826% (3-Month Term SOFR+750 basis points), 7/20/20302,3,4,5 | | | | $ | 502,328 | | |
| | | 500,000 | | | | THL Credit Wind River 2018-2 Clo Ltd. Series 2018-2A, Class D, 8.570% (3-Month Term SOFR+326 basis points), 7/15/20302,3,4,5 | | | | | 469,339 | | |
| | | 425,000 | | | | Voya CLO Ltd. Series 2017-1A, Class C, 8.900% (3-Month Term SOFR+359 basis points), 4/17/20302,3,4,5 | | | | | 413,852 | | |
| | | 750,000 | | | | Series 2014-1A, Class CR2, 8.372% (3-Month Term SOFR+306 basis points), 4/18/20312,3,4,5 | | | | | 646,525 | | |
| | | 400,000 | | | | Series 2016-3A, Class CR, 8.822% (3-Month Term SOFR+351 basis points), 10/18/20312,3,4,5 | | | | | 366,935 | | |
| | | 500,000 | | | | Series 2019-2A, Class D, 9.288% (3-Month Term SOFR+396 basis points), 7/20/20322,3,4,5 | | | | | 477,510 | | |
| | | | | | | TOTAL COLLATERALIZED LOAN OBLIGATIONS (Cost $23,612,458) | | | | | 24,210,401 | | |
| Number of Shares | | | | | | | | | | | |||
| | | | COMMON STOCKS – 0.0% | | |||||||||
| | | | | | | ELECTRIC-GENERATION – 0.0% | | ||||||
| | | 8 | | | | Stronghold Digital Mining, Inc. – Class A*,1 | | | | | 35 | | |
| | | | | | | TOTAL COMMON STOCKS (Cost $30) | | | | | 35 | | |
| | | | | | | PRIVATE INVESTMENT FUNDS – 9.6% | | ||||||
| | | N/A7 | | | | DSC Meridian LP1 | | | | | 1,302,902 | | |
| | | N/A7 | | | | Linden Investors LP1 | | | | | 1,285,632 | | |
| | | N/A7 | | | | Old Orchard Credit Fund LP1 | | | | | 1,259,926 | | |
| | | 25,000 | | | | Palmer Square Capital BDC, Inc.6 | | | | | 424,000 | | |
| | | N/A7 | | | | TCW Direct Lending VIII LLC | | | | | 880,397 | | |
| | | N/A7 | | | | WhiteHawk IV-Plus Onshore Fund, L.P. | | | | | 886,944 | | |
| | | N/A7 | | | | Wynwood BN, LLC | | | | | 294,537 | | |
| | | | | | | TOTAL PRIVATE INVESTMENT FUNDS (Cost $6,243,899) | | | | | 6,334,338 | | |
| | | | | | | SHORT-TERM INVESTMENTS – 15.5% | | ||||||
| | | 10,273,698 | | | | Morgan Stanley Institutional Liquidity Fund – Government Portfolio – Institutional Class, 5.27%8 | | | | | 10,273,698 | | |
| | | | | | | TOTAL SHORT-TERM INVESTMENTS (Cost $10,273,698) | | | | | 10,273,698 | | |
| | | | | | | TOTAL INVESTMENTS – 109.3% (Cost $71,375,810) | | | | | 72,434,643 | | |
| | | | | | | Liabilities in Excess of Other Assets – (9.3)% | | | | | (6,141,664) | | |
| | | | | | | TOTAL NET ASSETS – 100.0% | | | | $ | 66,292,979 | | |
|
SCHEDULE OF INVESTMENTS — Continued
As of September 30, 2023 (Unaudited)
Securities With Restrictions On Redemptions | | | Redemptions Permitted | | | Redemption Notice Period | | | Cost | | | Fair Value | | | Original Acquisition Date | | ||||||
DSC Meridan LPa | | | Quarterlyb | | | 65 Days | | | | $ | 1,250,000 | | | | | $ | 1,302,902 | | | | 5/1/2023 | |
Linden Investors LPa | | | Quarterlyb | | | 65 Days | | | | | 1,250,000 | | | | | | 1,285,632 | | | | 5/1/2023 | |
Old Orchard Credit Fund LPa | | | Quarterlyb | | | 65 Days | | | | | 1,250,000 | | | | | | 1,259,926 | | | | 5/31/2023 | |
Palmer Square Capital BDC, Inc.a | | | Not permitted | | | N/A | | | | | 400,000 | | | | | | 424,000 | | | | 2/1/2023 | |
TCW Direct Lending VIII LLCa | | | Not permitted | | | N/A | | | | | 906,955 | | | | | | 880,397 | | | | 8/9/2023 | |
WhiteHawk IV-Plus Onshore Fund, L.P.a | | | Not permitted | | | N/A | | | | | 886,944 | | | | | | 886,944 | | | | 6/29/2023 | |
Wynwood BN, LLCa | | | Not permitted | | | N/A | | | | | 300,000 | | | | | | 294,537 | | | | 1/26/2023 | |
Totals | | | | | | | | | | $ | 6,243,899 | | | | | $ | 6,334,338 | | | | | |
SCHEDULE OF INVESTMENTS — Continued
As of September 30, 2023 (Unaudited)
Sale Contracts | | | Counterparty | | | Currency Exchange | | | Currency Amount Sold | | | Value At Settlement Date | | | Value At September 30, 2023 | | | Unrealized Appreciation (Depreciation) | | ||||||||||||
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | $ | (22,080) | | | | | $ | (21,294) | | | | | $ | 786 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (10,000) | | | | | | (11,120) | | | | | | (10,818) | | | | | | 302 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (30,000) | | | | | | (33,195) | | | | | | (32,072) | | | | | | 1,123 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,180) | | | | | | (21,475) | | | | | | 705 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,010) | | | | | | (21,195) | | | | | | 815 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (276,000) | | | | | | (304,980) | | | | | | (294,290) | | | | | | 10,690 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (448,000) | | | | | | (498,848) | | | | | | (486,635) | | | | | | 12,213 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (30,000) | | | | | | (33,315) | | | | | | (32,320) | | | | | | 995 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (30,000) | | | | | | (32,682) | | | | | | (31,895) | | | | | | 787 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,168) | | | | | | (21,606) | | | | | | 562 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (21,888) | | | | | | (21,351) | | | | | | 537 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (40,000) | | | | | | (44,476) | | | | | | (43,390) | | | | | | 1,086 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (21,988) | | | | | | (21,443) | | | | | | 545 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,318) | | | | | | (21,786) | | | | | | 532 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (648,000) | | | | | | (725,242) | | | | | | (708,841) | | | | | | 16,401 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (40,000) | | | | | | (44,156) | | | | | | (43,036) | | | | | | 1,120 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (30,000) | | | | | | (33,645) | | | | | | (32,956) | | | | | | 689 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,080) | | | | | | (21,351) | | | | | | 729 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,280) | | | | | | (21,695) | | | | | | 585 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,480) | | | | | | (22,063) | | | | | | 417 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (944,000) | | | | | | (1,062,000) | | | | | | (1,044,119) | | | | | | 17,881 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (30,000) | | | | | | (33,210) | | | | | | (32,165) | | | | | | 1,045 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,340) | | | | | | (21,785) | | | | | | 555 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,380) | | | | | | (21,878) | | | | | | 502 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (20,000) | | | | | | (22,210) | | | | | | (21,516) | | | | | | 694 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (30,000) | | | | | | (33,000) | | | | | | (31,895) | | | | | | 1,105 | | |
EUR | | | BNP Paribas | | | EUR per USD | | | | | (30,000) | | | | | | (33,390) | | | | | | (32,409) | | | | | | 981 | | |
TOTAL FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS | | | | | | | | | | $ | (3,211,661) | | | | | $ | (3,137,279) | | | | | $ | 74,382 | | |
SUMMARY OF INVESTMENTS
As of September 30, 2023 (Unaudited)
Security Type/Sector | | | Percent of Total Net Assets | | |||
Bank Loans | | | | | 47.7% | | |
Collateralized Loan Obligations | | | | | 36.5% | | |
Common Stocks | | | | | | | |
Electric-Generation | | | | | 0.0% | | |
Private Investment Funds | | | | | 9.6% | | |
Short-Term Investments | | | | | 15.5% | | |
Total Investments | | | | | 109.3% | | |
Liabilities in Excess of Other Assets | | | | | (9.3)% | | |
Total Net Assets | | | | | 100.0% | | |
STATEMENT OF ASSETS AND LIABILITIES
As of September 30, 2023 (Unaudited)
| Assets: | | | | | ||||||
| Investments in securities, at fair value | | | | | | | | | ||
| Unaffiliated investments (cost $63,907,311) | | | | $ | 65,019,379 | | | | ||
| Affiliated investments (cost $7,468,499) | | | | | 7,415,264 | | | | ||
| Unrealized appreciation on forward foreign currency exchange contracts | | | | | 74,382 | | | | ||
| Cash | | | | | 52,172 | | | | ||
| Receivables: | | | | | | | | | ||
| Interest and Dividends | | | | | 727,269 | | | | ||
| Due from Investment Manager | | | | | 167,225 | | | | ||
| Fund shares sold | | | | | 507,355 | | | | ||
| Prepaid expenses | | | | | 21,390 | | | | ||
| Total assets | | | | | 73,984,436 | | | | ||
| Liabilities: | | | | | | | | | ||
| Payables: | | | | | | | | | ||
| Investment securities purchased | | | | | 6,378,956 | | | | ||
| Auditing fees | | | | | 13,347 | | | | ||
| Shareholder reporting fees | | | | | 584 | | | | ||
| Distribution fees – Class I (Note 3) | | | | | 9,935 | | | | ||
| Legal fees | | | | | 32,441 | | | | ||
| Chief Compliance Officer fees | | | | | 261 | | | | ||
| Fund shares redeemed | | | | | 1,241,160 | | | | ||
| Deferred tax liability | | | | | 10,904 | | | | ||
| Fund services expense | | | | | 617 | | | | ||
| Trustees’ fees and expenses | | | | | 794 | | | | ||
| Accrued other expenses | | | | | 2,458 | | | | ||
| Total liabilities | | | | | 7,691,457 | | | | ||
| Net Assets | | | | $ | 66,292,979 | | | | ||
| Components of Net Assets | | | | | | | | | ||
| Paid-in Capital (par value of $0.01 per share with an unlimited number of shares authorized) | | | | $ | 64,355,560 | | | | ||
| Total accumulated earnings | | | | | 1,937,419 | | | | ||
| Net Assets | | | | $ | 66,292,979 | | | | ||
| Maximum Offering Price per Share | | | | | | | | | ||
| Class A Shares: | | | | | | | | | ||
| Net assets applicable to shares outstanding | | | | $ | 1,045 | | | | ||
| Shares of beneficial interest issued and outstanding | | | | | 101 | | | | ||
| Net asset value, offering and redemption price per share | | | | $ | 10.36 | | | | ||
| Maximum sales charge (4.50% of offering price)* | | | | $ | 0.49 | | | | ||
| Maximum offer price to public | | | | $ | 10.85 | | | | ||
| Class I Shares: | | | | | | | | | ||
| Net assets applicable to shares outstanding | | | | $ | 66,291,934 | | | | ||
| Shares of beneficial interest issued and outstanding | | | | | 6,389,412 | | | | ||
| Net asset value, offering and redemption price per share | | | | $ | 10.38 | | | |
STATEMENT OF OPERATIONS
For the Six Months Ended September 30, 2023 (Unaudited)
| Investment Income: | | | | | | | |
| Dividends | | | | $ | 49,734 | | |
| Interest | | | | | 2,431,796 | | |
| Interest from affiliated issuers | | | | | 5,178 | | |
| Total investment income | | | | | 2,486,708 | | |
| Expenses: | | | | | | | |
| Investment Manager fees | | | | | 345,624 | | |
| Legal fees | | | | | 53,196 | | |
| Offering costs (see Note 2) | | | | | 12,084 | | |
| Auditing fees | | | | | 21,447 | | |
| Trustees’ fees and expenses | | | | | 39,794 | | |
| Chief Compliance Officer fees | | | | | 18,478 | | |
| Shareholder reporting fees | | | | | 16,881 | | |
| Distribution fees – Class I (Note 3) | | | | | 27,406 | | |
| Fund services expense | | | | | 16,675 | | |
| Tax services | | | | | 6,966 | | |
| Registration fees | | | | | 24,258 | | |
| Insurance fees | | | | | 2,579 | | |
| Miscellaneous | | | | | 5,743 | | |
| Total expenses | | | | | 591,131 | | |
| Advisory fees waived | | | | | (194,435) | | |
| Net expenses | | | | | 396,696 | | |
| Net investment income | | | | | 2,090,012 | | |
| Realized and Unrealized Gain (Loss): | | | | | | | |
| Net realized gain (loss) on: | | | | | | | |
| Investments in unaffiliated issuers | | | | | 184,429 | | |
| Foreign currency transactions | | | | | 286 | | |
| Forward contracts | | | | | (3,591) | | |
| Net realized gain (loss) | | | | | 181,124 | | |
| Net change in unrealized appreciation/depreciation on: | | | | | | | |
| Investments in unaffiliated issuers | | | | | 983,230 | | |
| Investments in affiliated issuers | | | | | (58,967) | | |
| Forward contracts | | | | | 82,256 | | |
| Foreign currency transactions | | | | | (560) | | |
| Net change in unrealized appreciation/depreciation | | | | | 1,005,959 | | |
| Net realized and unrealized gain (loss) on investments, foreign currency and forward contracts | | | | | 1,187,083 | | |
| Net Increase in Net Assets from Operations | | | | $ | 3,277,095 | | |
STATEMENTS OF CHANGES IN NET ASSETS
| | | For the Six Months Ended September 30, 2023 (Unaudited) | | | For the Period May 9, 20221 Through March 31, 2023 | | ||||||
Increase (Decrease) in Net Assets From: | | | | | | | | | | | | | |
Operations: | | | | | | | | | | | | | |
Net investment income | | | | $ | 2,090,012 | | | | | $ | 650,961 | | |
Net realized gain (loss) on investments, foreign currency and forward contracts | | | | | 181,124 | | | | | | 95,393 | | |
Net change in unrealized appreciation/depreciation on investments and forward contracts | | | | | 1,005,959 | | | | | | 126,696 | | |
Net increase in net assets resulting from operations | | | | | 3,277,095 | | | | | | 873,050 | | |
Distributions to Shareholders: | | | | | | | | | | | | | |
Distributions: | | | | | | | | | | | | | |
Class A2 | | | | | (25) | | | | | | — | | |
Class I | | | | | (1,776,033) | | | | | | (478,831) | | |
Total distributions to shareholders | | | | | (1,776,058) | | | | | | (478,831) | | |
Capital Transactions: | | | | | | | | | | | | | |
Net proceeds from shares sold: | | | | | | | | | | | | | |
Class A2 | | | | | 1,000 | | | | | | | | |
Class I | | | | | 35,320,986 | | | | | | 30,494,159 | | |
Reinvestment of distributions: | | | | | | | | | | | | | |
Class A2 | | | | | 25 | | | | | | | | |
Class I | | | | | 142,615 | | | | | | 21,172 | | |
Cost of shares redeemed: | | | | | | | | | | | | | |
Class I | | | | | (1,682,234) | | | | | | | | |
Net increase in net assets from capital transactions | | | | | 33,782,392 | | | | | | 30,515,331 | | |
Total increase in net assets | | | | | 35,283,429 | | | | | | 30,909,550 | | |
Net Assets: | | | | | | | | | | | | | |
Beginning of period3 | | | | | 31,009,550 | | | | | | 100,000 | | |
End of period | | | | $ | 66,292,979 | | | | | $ | 31,009,550 | | |
Capital Share Transactions: | | | | | | | | | | | | | |
Shares sold: | | | | | | | | | | | | | |
Class A2 | | | | | 98 | | | | | | | | |
Class I | | | | | 3,460,528 | | | | | | 3,075,478 | | |
Shares reinvested: | | | | | | | | | | | | | |
Class A2 | | | | | 3 | | | | | | | | |
Class I | | | | | 14,045 | | | | | | 2,134 | | |
Shares redeemed: | | | | | | | | | | | | | |
Class I | | | | | (162,773) | | | | | | | | |
Net increase in capital share transactions | | | | | 3,311,901 | | | | | | 3,077,612 | | |
STATEMENT OF CASH FLOWS
For the Six Months Ended September 30, 2023 (Unaudited)
| Increase (Decrease) in Cash | | | | | | | |
| Cash flows provided by (used for) operating activities: | | | | | | | |
| Net increase in net assets resulting from operations | | | | $ | 3,277,095 | | |
| Adjustments to reconcile net increase in net assets resulting from operations to net cash provided by (used for) operating activities: | | | | | | | |
| Purchases of long-term portfolio investments | | | | | (37,889,302) | | |
| Sales of long-term portfolio investments | | | | | 4,819,893 | | |
| Purchase/Sales of short-term investments, net | | | | | (2,424,380) | | |
| Decrease in investment securities sold | | | | | 938,125 | | |
| Increase in interest and dividends | | | | | (487,466) | | |
| Decrease in due from investment manager | | | | | 38,102 | | |
| Increase in fund shares sold | | | | | (352,397) | | |
| Decrease in deferred offering costs (see Note 2) | | | | | 11,754 | | |
| Increase in prepaid expenses | | | | | (2,006) | | |
| Decrease in auditing fees | | | | | (4,153) | | |
| Increase in shareholder reporting fees | | | | | 584 | | |
| Increase in distribution fees – Class I (Note 3) | | | | | (1,180) | | |
| Increase in legal fees | | | | | 22,441 | | |
| Increase in chief compliance officer fees | | | | | 261 | | |
| Increase in fund shares redeemed | | | | | 1,241,160 | | |
| Increase in deferred tax liability | | | | | 6,966 | | |
| Decrease in fund services expense | | | | | (2,683) | | |
| Decrease in trustees’ fees and expenses | | | | | (106) | | |
| Decrease in accrued other expenses | | | | | (2,597) | | |
| Net amortization on investments | | | | | (68,608) | | |
| Net realized gain (loss) on investments, foreign currency and forward contracts | | | | | (199,414) | | |
| Net change in unrealized appreciation/depreciation on investments and forward contracts | | | | | (1,005,959) | | |
| Net cash provided by (used for) operating activities | | | | | (32,083,870) | | |
| Cash flows provided by (used for) financing activities: | | | | | | | |
| Proceeds from shares sold | | | | | 35,321,986 | | |
| Dividends paid to Shareholders, net of investments | | | | | (1,633,418) | | |
| Cost of shares redeemed | | | | | (1,682,234) | | |
| Net cash provided by (used for) financing activities | | | | | 32,006,334 | | |
| Net decrease in cash | | | | | (77,536) | | |
| Cash: | | | | | | | |
| Beginning of period | | | | | 129,708 | | |
| End of period | | | | $ | 52,172 | | |
FINANCIAL HIGHLIGHTS
Class A
For a capital share outstanding throughout the period.
| | | For the Period June 6, 2023* Through September 30, 2023 (Unaudited) | | |||
Net asset value, beginning of period | | | | $ | 10.00 | | |
Income from Investment Operations: | | | | | | | |
Net investment income1 | | | | | 0.32 | | |
Net realized and unrealized loss on investments | | | | | 0.29 | | |
Total from investment operations | | | | | 0.61 | | |
Less Distributions: | | | | | | | |
From net investment income | | | | | (0.25) | | |
Total distributions | | | | | (0.25) | | |
Net asset value, end of period | | | | $ | 10.36 | | |
Total return2,3 | | | | | 4.52% | | |
Ratios and Supplemental Data: | | | | | | | |
Net assets, end of period (in thousands) | | | | | 1 | | |
Ratio of expenses to average net assets: | | | | | | | |
Before fees waived and expenses absorbed4 | | | | | 2.59% | | |
After fees waived and expenses absorbed4 | | | | | 2.40% | | |
Ratio of net investment income (loss) to average net assets: | | | | | | | |
Before fees waived and expenses absorbed4 | | | | | 9.50% | | |
After fees waived and expenses absorbed4 | | | | | 9.69% | | |
Portfolio turnover rate3 | | | | | 29% | | |
FINANCIAL HIGHLIGHTS
Class I
For a capital share outstanding throughout the period.
| | | For the Six Months Ended September 30, 2023 (Unaudited) | | | For the Period May 9, 2022* Through March 31, 2023 | | ||||||
Net asset value, beginning of period | | | | $ | 10.08 | | | | | $ | 10.00 | | |
Income from Investment Operations: | | | | | | | | | | | | | |
Net investment income1 | | | | | 0.442 | | | | | | 0.54 | | |
Net realized and unrealized loss on investments | | | | | 0.25 | | | | | | (0.20) | | |
Total from investment operations | | | | | 0.69 | | | | | | 0.34 | | |
Less Distributions: | | | | | | | | | | | | | |
From net investment income | | | | | (0.39) | | | | | | (0.25) | | |
From net realized gain | | | | | — | | | | | | (0.01) | | |
Total distributions | | | | | (0.39) | | | | | | (0.26) | | |
Net asset value, end of period | | | | $ | 10.38 | | | | | $ | 10.08 | | |
Total return3,4 | | | | | 7.07% | | | | | | 3.37% | | |
Ratios and Supplemental Data: | | | | | | | | | | | | | |
Net assets, end of period (in thousands) | | | | | 66,292 | | | | | $ | 31,010 | | |
Ratio of expenses to average net assets: | | | | | | | | | | | | | |
Before fees waived and expenses absorbed5 | | | | | 2.46% | | | | | | 5.46% | | |
After fees waived and expenses absorbed5 | | | | | 1.65% | | | | | | 1.65% | | |
Ratio of net investment income (loss) to average net assets: | | | | | | | | | | | | | |
Before fees waived and expenses absorbed5 | | | | | 7.88% | | | | | | 2.22% | | |
After fees waived and expenses absorbed5 | | | | | 8.69% | | | | | | 6.03% | | |
Portfolio turnover rate4 | | | | | 29% | | | | | | 46% | | |
NOTES TO FINANCIAL STATEMENTS
September 30, 2023 (Unaudited)
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
| 2026 | | | | $ | 411,518 | | |
| 2027 | | | | | 194,435 | | |
| Total | | | | $ | 605,953 | | |
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
| Cost of investments | | | | $ | 31,977,983 | | |
| Gross unrealized appreciation | | | | $ | 310,826 | | |
| Gross unrealized depreciation | | | | | (176,256) | | |
| Net unrealized appreciation on investments | | | | $ | 134,570 | | |
| Increase (Decrease) | | |||
| Paid-in Capital | | | Total Distributable Earnings | |
| $(42,163) | | | $42,163 | |
| Undistributed ordinary income | | | | $ | 301,812 | | |
| Undistributed long-term capital gains | | | | | — | | |
| Tax accumulated earnings | | | | | 301,812 | | |
| Accumulated capital and other losses | | | | | — | | |
| Net unrealized appreciation on investments | | | | | 134,570 | | |
| Total accumulated earnings | | | | $ | 134,570 | | |
Distribution paid from: | | | 2023 | | |||
Ordinary income | | | | $ | 478,831 | | |
Net long-term capital gains | | | | | — | | |
Total taxable distributions | | | | $ | 478,831 | | |
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
| | | | Repurchase Offer | | | Repurchase Offer | |
| Commencement Date | | | May 31, 2023 | | | August 30, 2023 | |
| Repurchase Request Date | | | June 30, 2023 | | | September 29, 2023 | |
| Repurchase Pricing Date | | | June 30, 2023 | | | September 29, 2023 | |
| Net Asset Value as of Repurchase Pricing Date | | | | | | | |
| Class A Shares | | | $— | | | $10.36 | |
| Class I Shares | | | $10.21 | | | $10.38 | |
| Amount Repurchased | | | | | | | |
| Class A Shares | | | $0 | | | $0 | |
| Class I Shares | | | $438,055 | | | $1,241,160 | |
| Percentage of Outstanding Shares Repurchased | | | | | | | |
| Class A Shares | | | —% | | | —% | |
| Class I Shares | | | .93% | | | 1.85% | |
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
| | | Level 1 | | | Level 2 | | | Level 3 | | | Total | | ||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
Investments | | | | | | | | | | | | | | | | | | | | | | | | | |
Bank Loans | | | | | — | | | | | | 9,573,074 | | | | | | 22,043,097 | | | | | | 31,616,171 | | |
Common Stock | | | | | — | | | | | | — | | | | | | 35 | | | | | | 35 | | |
Collateralized Loan Obligations | | | | | — | | | | | | 23,573,868 | | | | | | 636,533 | | | | | | 24,210,401 | | |
Private Investment Funds | | | | | — | | | | | | — | | | | | | 3,848,460 | | | | | | 3,848,460 | | |
Short-Term Investments | | | | | 10,273,698 | | | | | | — | | | | | | — | | | | | | 10,273,698 | | |
Subtotal | | | | $ | 10,273,698 | | | | | $ | 33,146,942 | | | | | $ | 26,528,125 | | | | | $ | 69,948,765 | | |
Private Investments Funds | | | | | | | | | | | | | | | | | | | | | | | 2,485,878 | | |
Total Investments | | | | | | | | | | | | | | | | | | | | | | $ | 72,434,643 | | |
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
| | | Bank Loans | | | Collateralized Loan Obligations | | | Common Stock | | |||||||||
Balance as of March 31, 2023 | | | | $ | 8,648,194 | | | | | $ | 1,460,912 | | | | | $ | — | | |
Transfers into Level 3 | | | | | 348,452 | | | | | | — | | | | | | — | | |
Transfers out of Level 3 | | | | | — | | | | | | (950,005) | | | | | | — | | |
Total gains or losses for the period | | | | | 9,393 | | | | | | — | | | | | | 5,968 | | |
Included in earnings (or changes in net assets) | | | | | 99,529 | | | | | | 37,998 | | | | | | 5 | | |
Included in other comprehensive income | | | | | — | | | | | | — | | | | | | — | | |
Net purchases | | | | | 13,719,260 | | | | | | 87,629 | | | | | | 6,340 | | |
Net sales | | | | | (781,731) | | | | | | — | | | | | | (12,278) | | |
Balance as of September 30, 2023 | | | | $ | 22,043,097 | | | | | $ | 636,533 | | | | | $ | 35 | | |
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at the end of the reporting period | | | | $ | 163,919 | | | | | $ | 37,998 | | | | | $ | 5 | | |
| | | Private Investment Funds | | | Warrants | | ||||||
Balance as of March 31, 2023 | | | | $ | — | | | | | $ | 9,132 | | |
Transfers into Level 3 | | | | | — | | | | | | — | | |
Transfers out of Level 3 | | | | | — | | | | | | — | | |
Total gains or losses for the period | | | | | | | | | | | — | | |
Included in earnings (or changes in net assets) | | | | | 1,348,460 | | | | | | (2,793) | | |
Included in other comprehensive income | | | | | — | | | | | | — | | |
Net purchases | | | | | 2,500,000 | | | | | | — | | |
Net sales | | | | | — | | | | | | (6,339) | | |
Balance as of September 30, 2023 | | | | $ | 3,848,460 | | | | | $ | — | | |
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at the end of the reporting period | | | | $ | 98,460 | | | | | $ | (2,793) | | |
Investments | | | Fair Value | | | Valuation Technique(s) | | | Unobservable Input | | | Range of Input | | |||
Bank Loans | | | | $ | 10,499,054 | | | | Recent Transaction Price | | | Recent Transaction Price | | | N/A | |
| | | | $ | 2,192,559 | | | | Market Approach | | | Expected Yield | | | 16.5% – 19.6% | |
| | | | $ | 6,601,482 | | | | Discounted Cash Flows | | | Market Yield | | | 7.2% – 13.3% | |
Collateralized Loan Obligations | | | | $ | 636,533 | | | | Market Approach | | | Expected yield | | | 14.12% – 19.24% | |
Common Stock | | | | $ | 35 | | | | Recent Transaction Price | | | Recent Transaction Price | | | N/A | |
Private Investment Funds | | | | $ | 3,848,460 | | | | Adjusted Net Asset Value | | | Reported net asset/ fair value adjustments | | | N/A | |
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
Name of Issuer | | | Value Beginning of Period | | | Purchases | | | Sales Proceeds | | | Net Realized Gain (Loss) | | | Amortization | | | Change in Unrealized Appreciation (Depreciation) | | | Value End of Period | | |||||||||||||||||||||
COLLATERALIZED LOAN OBLIGATIONS | | | | | | | | | |||||||||||||||||||||||||||||||||||
Mount Logan Funding LP | | | | $ | 255,598 | | | | | $ | 1,272,893 | | | | | | — | | | | | | — | | | | | $ | 15,527 | | | | | $ | 33,828 | | | | | $ | 1,577,847 | | |
Palmer Square European Loan Funding | | | | | — | | | | | | 1,078,378 | | | | | | — | | | | | | — | | | | | | 1,513 | | | | | | (25,340) | | | | | | 1,054,551 | | |
Palmer Square European Loan Funding | | | | | 650,689 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (72,123) | | | | | | 578,565 | | |
Palmer Square European Loan Funding | | | | | 299,317 | | | | | | — | | | | | | — | | | | | | — | | | | | | 769 | | | | | | 8,360 | | | | | | 308,446 | | |
Palmer Square European Loan Funding | | | | | — | | | | | | 1,001,781 | | | | | | — | | | | | | — | | | | | | — | | | | | | (45,230) | | | | | | 956,551 | | |
Palmer Square Loan Funding Ltd. | | | | | 279,303 | | | | | | — | | | | | | — | | | | | | — | | | | | | 395 | | | | | | 18,061 | | | | | | 297,759 | | |
Palmer Square Loan Funding Ltd. | | | | | 441,809 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (37,487) | | | | | | 404,323 | | |
Palmer Square Loan Funding Ltd. | | | | | — | | | | | | 735,000 | | | | | | — | | | | | | — | | | | | | 262 | | | | | | 16,285 | | | | | | 751,546 | | |
Palmer Square Loan Funding Ltd. | | | | | — | | | | | | 825,000 | | | | | | — | | | | | | — | | | | | | — | | | | | | 63,496 | | | | | | 888,496 | | |
Palmer Square Loan Funding Ltd. | | | | | — | | | | | | 500,000 | | | | | | — | | | | | | — | | | | | | — | | | | | | 1,027 | | | | | | 501,027 | | |
Palmer Square Loan Funding Ltd. | | | | | — | | | | | | 1,250,000 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 1,250,000 | | |
PRIVATE INVESTMENT FUNDS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Palmer Square Capital BDC, Inc. | | | | | — | | | | | | 407,750 | | | | | | — | | | | | | — | | | | | | — | | | | | | 16,250 | | | | | | 424,000 | | |
Total | | | | $ | — | | | | | $ | 2,334,466 | | | | | | 6,663,052 | | | | | | — | | | | | $ | 18,466 | | | | | $ | (22,873) | | | | | $ | 8,993,111 | | |
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
| | | Derivatives not designated as hedging instruments | | |||||||||
| | | Foreign Exchange Contracts | | | Total | | ||||||
Liabilities | | | | | | | | | | | | | |
Unrealized appreciation on forward foreign currency exchange contracts | | | | $ | 74,382 | | | | | $ | 74,382 | | |
| | | | $ | 74,382 | | | | | $ | 74,382 | | |
| | | Derivatives not designated as hedging instruments | | |||||||||
| | | Foreign Exchange Contracts | | | Total | | ||||||
Net Change in Unrealized Appreciation/(Depreciation) on Derivatives | | | | | | | | | | | | | |
Forward contracts | | | | $ | 82,256 | | | | | $ | 82,256 | | |
| | | | $ | 82,256 | | | | | $ | 82,256 | | |
Derivatives not designated as hedging instruments | | | | | |||||||||
Forward contracts | | | Foreign exchange contracts | | | Notional amount | | | | $ | (2,132,927) | | |
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
NOTES TO FINANCIAL STATEMENTS — Continued
September 30, 2023 (Unaudited)
FUND INFORMATION
September 30, 2023 (Unaudited)
| | | | TICKER | | | CUSIP | | ||||||
| First Trust Private Credit Fund – Class A Shares | | | | | FTCAX | | | | | | 33741K100 | | |
| First Trust Private Credit Fund – Class I Shares | | | | | FTPCX | | | | | | 33741K209 | | |
235 West Galena Street
Milwaukee, WI 53212
Toll Free: (877) 779-1999
PRIVACY POLICY
(Unaudited)
| | FACTS | | | | WHAT DOES THE FUND DO WITH YOUR PERSONAL INFORMATION? | | |
| | Why? | | | | Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do. | | |
| | What? | | | | The types of personal information we collect and share depend on the product or service you have with us. This information can include: • Social Security number • Account balances • Account transactions • Transaction history • Wire transfer instructions • Checking account information When you are no longer our customer, we continue to share your information as described in this notice. | | |
| | How? | | | | All financial companies need to share customers’ personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers’ personal information; the reasons funds choose to share; and whether you can limit this sharing. | | |
| | Reasons we can share your personal information | | | | Does the Fund share? | | | | Can you limit this sharing? | | |
| | For our everyday business purposes – such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus | | | | Yes | | | | No | | |
| | For our marketing purposes – to offer our products and services to you | | | | No | | | | We don’t share | | |
| | For joint marketing with other financial companies | | | | No | | | | We don’t share | | |
| | For our affiliates’ everyday business purposes – information about your transactions and experiences | | | | Yes | | | | No | | |
| | For our affiliates’ everyday business purposes – information about your creditworthiness | | | | No | | | | We don’t share | | |
| | For our affiliates to market to you | | | | No | | | | We don’t share | | |
| | For nonaffiliates to market to you | | | | No | | | | We don’t share | | |
| | Questions? | | | | Call 1-844-440-4450 | | | | | | |
PRIVACY POLICY — Continued
(Unaudited)
| | What we do | | | | | | |
| | How does the Fund protect my personal information? | | | | To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings. | | |
| | How does the Fund collect my personal information? | | | | We collect your personal information, for example, when you • Open an account • Provide account information • Give us your contact information • Make a wire transfer • Tell us where to send the money We also collect your information from others, such as credit bureaus, affiliates, or other companies. | | |
| | Why can’t I limit all sharing? | | | | Federal law gives you the right to limit only • Sharing for affiliates’ everyday business purposes-information about your creditworthiness • Affiliates from using your information to market to you • Sharing for nonaffiliates to market to you State laws and individual companies may give you additional rights to limit sharing. | | |
| | Definitions | | | | | | |
| | Affiliates | | | | Companies related by common ownership or control. They can be financial and nonfinancial companies. Our affiliates include companies such as Alternative Fund Advisor LLC. | | |
| | Nonaffiliates | | | | Companies not related by common ownership or control. They can be financial and nonfinancial companies. The Fund doesn’t share with nonaffiliates so they can market to you. | | |
| | Joint marketing | | | | A formal agreement between nonaffiliated financial companies that together market financial products or services to you. The Fund doesn’t jointly market. | | |
ITEM 1.(b) Not applicable.
ITEM 2. CODE OF ETHICS.
Not applicable to semi-annual reports.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
Not applicable to semi-annual reports.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Not applicable to semi-annual reports.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable.
ITEM 6. SCHEDULE OF INVESTMENTS.
(a) | Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the report to shareholders filed under Item 1(a) of this form. |
(b) | Not applicable. |
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable to semi-annual reports.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
(a) | Not applicable to semi-annual reports. |
(b) | Not applicable. |
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
There have been no material changes to the procedures by which the shareholders may recommend nominees to the registrant's board of trustees, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407), or this Item.
ITEM 11. CONTROLS AND PROCEDURES.
(a) The registrant's principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the "1940 Act") (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)).
(b) There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.
ITEM 12. DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT COMPANIES.
(a) Not applicable
(b) Not applicable
ITEM 13. EXHIBITS.
(a)(1) Not applicable to semi-annual reports.
(a)(3) Not applicable.
(a)(4) Not applicable.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
(registrant) First Trust Private Credit Fund |
By (Signature and Title)* | /s/ Michael Peck | |
Michael Peck, President | ||
(Principal Executive Officer) |
Date | December 8, 2023 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By (Signature and Title)* | /s/ Michael Peck | |
Michael Peck, President | ||
(Principal Executive Officer) |
Date | December 8, 2023 |
By (Signature and Title)* | /s/ Chad Eisenberg | |
Chad Eisenberg, Treasurer | ||
(Principal Financial Officer) |
Date | December 8, 2023 |
* Print the name and title of each signing officer under his or her signature.