Saba Capital Management launches new strategy targeting BDCs and alternative funds
Updated
Updated · The Wall Street Journal · Apr 27
Saba Capital Management launches new strategy targeting BDCs and alternative funds
8 articles · Updated · The Wall Street Journal · Apr 27
Less than 1% of Blue Owl Capital’s BDC investors accepted Saba and Cox Capital’s discounted tender offer, prompting Saba to announce a new investment approach.
Saba will now focus on acquiring stakes in public and private BDCs, closed-end funds, REITs, and interval funds at discounts of 30% or more, citing expected stress in these assets.
The firm recently invested $40 million in FS KKR and $75 million in Bluerock, and anticipates increased redemption pressures, with plans for similar offers to Cliffwater and Blue Owl’s Credit Income Corp.
Are retail investors being offered lower-quality products in private markets?
With assets selling near par, is the private credit panic a false alarm?
Is the private credit market's liquidity promise a dangerous 'financial alchemy'?
As regulators circle, what new rules could soon reshape private credit?
Is the AI boom secretly fueling the stress in private software loans?
Is the $2 trillion private credit market the next systemic financial risk?