Highland floating-rate, global credit funds sell stock for investments

By Toni Weeks

San Luis Obispo, Calif., June 4 - The Highland Floating Rate High Income Fund and the Highland Global Credit Allocation Fund each plan a public offering of shares, according to separate N-2 filings with the Securities and Exchange Commission.

The floating-rate fund is a newly organized, non-diversified, closed-end management investment company that seeks to provide a high level of current income by investing, under normal market conditions, at least 80% of its managed assets in floating-rate investments.

The credit fund is also a newly organized, non-diversified, closed-end management company. Its objectives are to provide both current income and capital appreciation. The fund will invest, under normal market conditions, at least 80% of its managed assets in debt securities, including secured and unsecured floating- and fixed-rate loans; fixed-, variable- and floating-rate bonds and other debt obligations; collateralized loan obligations; structured products, including mortgage-backed and other asset-backed securities and collateralized debt obligations; convertible securities; and preferred stock. The fund may invest in debt securities issued by U.S. and non-U.S. corporations or other businesses.

Each fund registered a token 50,000 shares at $20.00 apiece for proceeds of $1 million.

Both funds intend to apply for listing on the New York Stock Exchange.

Shareholder fees, total annual expenses have not yet been detailed. In addition, underwriters and portfolio managers were not disclosed.

Dallas-based NexPoint Advisors, LP will serve as the funds' investment adviser.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.