Bluerock High Income Institutional Credit Fund Announces Q2 2026 Distribution at an 8.5% Current Annualized Rate
Rhea-AI Summary
Bluerock High Income Institutional Credit Fund (IIMAX) declared its sixteenth consecutive quarterly distribution for Q2 2026, reflecting an 8.5% current annualized distribution rate and about $0.47 per share for investors holding all quarter. Since June 21, 2022 inception, total distributions are approximately $10.23 per share.
The Fund reports net assets of about $180 million as of June 30, 2026 and exposure to 109 CLOs backed by roughly $56.1 billion in underlying loans. I-share net returns through June 30, 2026 are 4.41% for one year and 7.98% annualized since inception. Contractual expense caps limit I-share net operating expenses to 1.85% through January 31, 2027, below gross ratios.
Positive
- Q2 2026 annualized distribution rate of 8.5% based on NAV
- Approximate Q2 2026 cash distribution of $0.47 per share
- Total distributions since June 2022 inception about $10.23 per share
- Net assets under management about $180 million as of 6/30/2026
- I-share annualized net return since inception of 7.98% through 6/30/2026
- Contractual cap limits I-share net operating expenses to 1.85% until 1/31/2027
Negative
- Gross annual operating expenses up to 4.61% for certain share classes before waivers
- Expense limitation agreement currently extends only until January 31, 2027
- Fund distributions are not fixed, may change, and are not assured
- Fund share values can fluctuate so redemption proceeds may be worth less than cost
Key Figures
Key Terms
collateralized loan obligations financial
senior secured loans financial
return of capital financial
us gaap regulatory
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The Fund continues to strategically diversify its portfolio, maintaining increased allocations to debt positions within the CLO capital structure. We are also monitoring an evolving theme in credit markets that investors have begun to describe as "HALO" (heavy asset, low obsolescence), which favors credit within the real estate sector backed by tangible, long-lived physical assets whose value is durable across market cycles and resistant to technological disruption. We believe this represents an increasingly attractive area of the credit markets, and the Fund's mandate provides the flexibility to evaluate opportunities of this kind where they align with the Fund's income objective. To that end, Bluerock recently appointed Tyler Kimball as Managing Director, Head of Real Estate Credit, and we look forward to sharing additional perspective with shareholders in the months ahead.
The Fund currently maintains positions in 109 collateralized loan obligations representing approximately
High Income Fund I-Share Net Performance
Performance Through 6.30.2026 | ||
One Year | Since Inception* | |
High Income Fund Class I | 4.41 % | 7.98 % |
Returns presented are total net return: Expressed in percentage terms, the calculation of total return is determined by taking the change in price, reinvesting, if applicable, all income and capital gains distributions during the period, and dividing by the starting price. Returns greater than one year are annualized.
* Inception date of the Fund is June 21, 2022.
The performance data quoted here represents past performance. Current performance may be lower or higher than the performance data quoted above. Investment return and principal value will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. For performance information, please call toll-free 1-844-819-8287. Past performance is not a guarantee of future results.
The total annual fund operating expense ratio excluding all fee waivers or expense reimbursements is
1 Represents the Q2 2026 distribution rate annualized and divided by NAV as of 6.30.2026. The Fund's distribution policy is to make quarterly distributions to shareholders. The level of quarterly distributions is not fixed and will vary based on performance of the Fund's underlying holdings. This distribution policy is subject to change. The tax characterization of the Fund's distributions is dependent, upon several factors, including the tax characterization of the distributions received by the Fund from its underlying investments, which is not known to the Fund at the time of its distribution. The Fund estimates, in accordance with US GAAP, that none of its most recent distribution was attributable to return of capital, however, the characterization of Fund distributions for federal income tax purposes is different from the characterization under US GAAP and the final determination of the source and tax characteristics of all distributions will be made after the end of the year after receipt of the relevant tax information from the Fund's underlying investments. Shareholders should note that any return of capital will reduce the tax basis of their shares and potentially increase the taxable gain, if any, upon disposition of their shares. There is no assurance that the Fund will continue to declare distributions or that they will continue at these rates. The distribution rate represents cumulative distributions paid since inception divided by the NAV/share during that time, annualized.
Additional information on fund and/or investment performance and the calculations related thereto can be provided upon request.
About Bluerock High Income Institutional Credit Fund
The Bluerock High Income Institutional Credit Fund (the "Fund") is a public, closed-end interval fund that provides individual investors access to a rapidly growing institutional asset class. The Fund's primary investment objective is to generate high current income, while secondarily seeking attractive, long-term risk-adjusted returns, with low correlation to the broader markets. The Fund seeks to accomplish its objectives by investing, directly and indirectly, in private credit through actively managed pools of diversified Senior Secured Loans known as Collateralized Loan Obligations (CLOs). The Fund has partnered with Clearlake Capital Asset Management, LLC whose management team has overseen the issuance of
Risk Disclosures
Not FDIC Insured | No Bank Guarantee | May Lose Value
Investing in the Fund involves risks, including the risk that you may receive little or no return on your investment, and that you may lose part or all of your investment. This is neither an offer to sell nor a solicitation to purchase any security.
Investors should carefully consider the investment objectives, risks, sales charges and expenses of the Bluerock High Income Institutional Credit Fund (the "Fund"). This and other important information about the Fund is contained in the prospectus, which can be obtained by visiting bluerock.com/hi-fund/documents. The prospectus should be read carefully before investing.
Past performance is not a guarantee of future results. The ability of the Fund to achieve its investment objective depends, in part, on the ability of the Advisor and Sub-Advisor to allocate effectively the assets of the Fund among the various available investment opportunities. There can be no assurance that the actual allocations will be effective in achieving the Fund's investment objective or delivering positive returns. There is no guarantee that the Fund's investment strategies will work under all market conditions. Statements relating to the performance of the Fund contained herein are historical and the Fund's performance subsequent to the date as of which such statements were made may differ materially. Updated performance data for the Fund is available at bluerockfunds.com/hi-fund/performance.
Please note that the performance data relating to various indices included herein is for informational purposes only. You cannot invest directly in an index. Index performance does not represent actual fund or portfolio performance. Performance of a fund or portfolio may differ significantly from the performance of index holding the same securities. Index performance assumes reinvestment of dividends but does not reflect any management fees, transaction costs or other expenses that would be incurred by a fund or portfolio, or brokerage commissions on transactions in fund shares. Such fees, expenses, and commissions would likely reduce returns.
The Fund is a closed-end interval fund, the shares have no history of public trading, nor is it intended that the shares will be listed on a public exchange at this time. No secondary market is expected to develop for the Fund's shares. Limited liquidity is provided to shareholders only through the Fund's quarterly repurchase offers for no less than
Investors in the Fund should understand that the net asset value ("NAV") of the Fund will fluctuate, which means the value of your shares at any point in time may be worth less than the value of your original investment, even after taking into account any reinvestment of dividends and distributions. An investment in shares represents an indirect investment in the securities owned by the Fund. The value of these securities, like other market investments, may move up or down, sometimes rapidly and unpredictably. The Fund is "non-diversified" under the Investment Company Act of 1940 and therefore may invest more than
Because the Fund invests primarily in debt-anchored instruments and securities, the value of your investment in the Fund may fluctuate with changes in interest rates. The Fund may invest in senior secured debt and CLOs. Substantial increases in interest rates may cause an increase in loan defaults and the value of the Fund's assets may also be affected by other uncertainties such as economic developments affecting the market for senior secured term loans or uncertainties affecting borrowers generally. There is a risk that the borrowers under the Senior Secured Loans may not make scheduled interest and/or principal payments on their loans and/or debt securities, which may result in losses or reduced cash flow to the Fund, either or both of which may cause the NAV of, or the distributions by, the Fund to decrease. CLOs carry additional risks, including but not limited to (i) the possibility that the Fund's investments in CLOs are subordinate to other classes or tranches thereof; and (iv) the complex structure of the CLO investment may not be fully understood at the time of investment and may produce disputes with the issuer, holders of senior tranches or other unexpected investment results. In addition, the nature of the Fund's investment strategy also subjects it to various risks, including credit risk (the debtor may default), liquidity risk (the investment may not be able to be sold at an advantageous time or price) and prepayment risk (the debtor may pay its obligation early, reducing the amount of interest payments). All potential investors should read the Risk Factors section of the prospectus for additional information related to the risks associated with an investment in the Fund.
The Bluerock High Income Institutional Credit Fund is distributed by ALPS Distributors, Inc (ALPS). Bluerock Credit Fund Advisor, LLC is not affiliated with ALPS, or Clearlake Capital Asset Management, LLC. This material is provided for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product or be relied upon for any other purpose. Certain information contained herein has been obtained from sources deemed to be reliable, but has not been independently verified. This material represents views as of its date and is subject to change without notice of any kind.
For more information, contact Bluerock Capital Markets at 877.826.BLUE (2583).
Collateralized Loan Obligations (CLOs): A form of securitization where payments from multiple business loans (most typically senior secured corporate loans) are pooled together and passed on to different classes of owners in various tranches.
Correlation: This indicates the strength and direction of a linear relationship between two random variables. The value will range between -1 and 1.
Senior Secured Loans (SSLs): Debt obligations issued by corporations that are typically backed ("secured") by a company's assets. SSLs sit at the top of the company's capital structure and have the highest priority claim on the borrower's assets.
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SOURCE Bluerock High Income Institutional Credit Fund