Corporate GovernanceJul 23, 2026, 07:47 AM
XFLT Urges Vote FOR King Street Sub-Adviser; Octagon Terminated
AI Summary
XAI Octagon Floating Rate & Alternative Income Trust (XFLT) has urged shareholders to vote for the King Street Sub-Advisory Agreement at the upcoming Special Meeting on July 30, 2026. This follows the termination of Octagon Credit Investors as sub-adviser due to poor performance, including seven CLO defaults in 2026 and a 54% NAV erosion. XAI highlighted its leadership's significant personal investment in XFLT, contrasting with Octagon's leaders, and noted that ISS also recommends approving the new agreement.
Key Highlights
- Octagon Credit Investors terminated as sub-adviser due to poor performance.
- XAI leadership owns 60x more XFLT shares than Octagon's leaders.
- Octagon's CLO portfolio suffered seven defaults in 2026.
- Fund's NAV eroded by 54% under Octagon's management.
- Shareholders urged to vote 'FOR' King Street Sub-Advisory Agreement.
- Special Meeting of Shareholders scheduled for July 30, 2026.
- Institutional Shareholder Services (ISS) recommends voting 'FOR' the proposal.
Price Impact
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