PHILADELPHIA, January 27, 2025 – FS Investments, a leading alternative asset manager with over $83 billion in assets under management, today announced that FS Credit Income Fund (the Fund), an opportunistic alternative credit strategy, will increase the distribution for all share classes effective with the payment of the monthly distribution on January 31, 2025.
The annualized distribution rate for Class I shares will increase to approximately 10% based on Fund’s net asset value (NAV) per share as of December 31, 2024, representing an increase of approximately 17%.1 More information regarding the distribution rate increase can be found in the Form 8-K filed on January 27, 2025.
The Fund returned 9.52% in 2024, outperforming high-yield bonds by 130 basis points and leveraged loans by 57 basis points.2 Effective December 1, 2024, the Fund’s management fee was lowered to 1.0% on gross assets and waived in its entirety through December 31, 2025.
“We believe the flexibility to invest across private and public credit in less trafficked areas of the public markets and in lower and core middle market private companies is key to delivering differentiated returns in today’s market,” said Andrew Beckman, Head of FS Investments’ Global Credit team and portfolio manager for the Fund. “We entered 2025 with a strong liquidity position to grow our allocation to private credit and take advantage of attractive investment opportunities that may arise from periods of volatility.”
FS Credit Income Fund seeks to dynamically invest in the best relative value opportunities across public and private credit to provide attractive total returns, including an attractive level of current income. The Fund invests in assets that are often outside the scope of liquid strategies and market indexes and traditional direct lending strategies.