Oxford Lane Capital Corp (NASDAQ:OXLC)
- Market Cap$255.623m
- AIC sector-
- Manager GroupOxford Lane Capital
The Fund seeks to maximize its portfolios total return. The Fund seeks to achieves it investment objective by investing primarily in senior, secured loans made to companeis whose debt is unrated or rated below investment grade (Senior Loans), with an emphasis on current income. The Fund intends to initially implement its investment objective by purchasing in the secondary market the equity and junior debt tranches of collateralized loan obligation (CLO) vehicles. Structurally, CLO vehicles are entities that were formed to originate and manage a portfolio of loans. The loans within the CLO vehicle are limited to loans which meet established credit criteria and are subject to concentration limitations in order to limit a CLO vehicles exposure to a single credit. A CLO vehicle is formed by raising various classes or tranches of debt (with the most senior tranches being rated AAA to the most junior tranches typically being rated BB) and equity. The CLO vehicles which the company intends to focus on will be collateralized primarily by Senior Loans, and will generally have very little or no exposure to real estate, mortgage loans or to pools of consumer-based debt, such as credit card receivables or auto loans. It may also invest, on an opportunistic basis, in other corporate credits of a variety of types. It also expects that each of its investments will range in size from USD1 million to USD8 million, although the investment size may vary consistent with the size of its overall portfolio.