FS Credit Opportunities Corp (FSCO) — Deep Dive

Summary

Closed-end credit fund, $2.2B assets, 13.6% yield at current NAV discount. Long DH holding.

Details

FS Credit Opportunities Corp (FSCO) is a closed-end credit fund trading at 26.4% discount to NAV. The $2.2B portfolio comprises 95 companies with 88% senior secured debt. Current share price: $5.24 (52-week low: $4.13).

Key metrics: - Dividend growth: +20% over 3 years - Yield on NAV: 10% - Share-price yield: 13.6% (at 26.4% NAV discount) - NAV has remained stable throughout — discount is the source of price volatility - Total expenses: 7.00% (includes debt interest at 5.69%)

The fund structure mimics a BDC but is legally a closed-end fund. Editor's position: Long.

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