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Octagon has a 25-year track record managing institutional client credit portfolios. A leading institutional credit investor with of assets under management (as of ), Octagon serves as the investment sub-adviser for XFLT & XOCT and is responsible for portfolio management.

About Octagon

As Collateralized Loan Obligation (CLO) investors, Octagon evaluates how a given CLO’s portfolio, structure and manager might affect the risk and value of a given CLO investment. Such judgments rely heavily on Octagon’s experience and skill in synthesizing information into an investment thesis that can withstand the scrutiny of its investment committee.

Octagon’s dual role as both a manager and investor in CLOs adds depth of perspective that few firms can match.

  • Fundamental credit expertise
  • Structural CLO expertise
  • Business continuity
  • Market cycle experience


The Octagon team—a cohesive, experienced, team of 30 investment specialists—is led by the Octagon investment committee which has worked together for at least 15 years across multiple credit cycles. Each member of the senior investment team has been directly involved in the CLO market, building relationships with key market participants.

Having risen to a position of market leadership in the CLO industry, Octagon is large enough to be meaningful, yet nimble enough to avoid “owning the market.”

  • Deep bench of investment professionals
  • Demonstrated ability to source investments
  • Established trading network for deal flow
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Philosophy and process

Octagon’s investment philosophy combines relative value focus and active portfolio management. At the heart of this approach is a deep understanding of fundamental credit, enhanced by a process focused on optimizing returns against target risk profiles.

Over its 25-year history, Octagon has developed a repeatable and scalable credit selection and investment process.

  • Ongoing assessment of investment opportunities
  • Research, analysis and recommendations based on defined thesis
  • Investment committee approval prior to any investment
  • Continual monitoring as a team to enhance decision-making

Portfolio management

The Octagon portfolio management team dynamically manages the Trust’s portfolio based on its evolving credit market outlook, and continues to search for promising opportunities in the credit markets. The Octagon team meets regularly to monitor portfolios using its robust review process while striving to manage risk via its proprietary internal credit rating and portfolio weighting system.

  • Seeks to optimize relative value
  • Focuses on improving credits to enhance alpha generation
  • Seeks attractive risk-adjusted returns
View Octagon Sub-advised Funds