AFT Stock Recent News

Apollo Senior Floating Rate Fund focuses on senior secured leveraged loans, with a portfolio mainly consisting of single 'B' rated collateral. The fund has performed well, generating a total return of over 13% in the past year, benefiting from higher rates. The fund trades at a discount to NAV, which is expected to persist, but it has a low discount beta and is a good option for buy-and-hold investors.

Fidgety credit markets have knocked down prices on healthy performing senior corporate loans, as well as many other credit asset classes. Wrap those loans in a closed-end fund, and then discount the CEF's market price, and you get a second discount. Like shopping with "double coupons" at your local grocery store.

We review CEF market valuation and performance through the fourth week of March and highlight recent market action. CEFs were relatively flat on the week; however, discounts continued to mostly push wider, offsetting NAV gains.

The AFT fund primarily invests in senior secured loans. The fund pays an attractive 10.2% distribution that is fully funded by NII.

AFT is at an attractive and compelling deep discount. However, it lags peers, so the larger discount could be warranted if, in the future, the weaker performance persists.

AFT's monthly distribution has been trending higher, with another 20% boost recently. This is a fund focused on floating rate senior loans benefiting from the Fed's aggressive hiking.

We review CEF market valuation and performance through the third week of September and highlight recent market action. CEFs had a tough week due to an upside surprise in inflation which pushed nearly all assets lower.