Carlyle Credit Income Fund (CCIF): High 22.38% yield, 13.65% NAV discount

Rhea-AI Filing Summary

Carlyle Credit Income Fund (CCIF) is a closed-end fund investing primarily in CLO junior debt and equity and first-lien loans. As of July 2025 the fund's estimated net assets were $138.19 million, NAV per share $6.52 and market cap $119.35 million, with shares trading at a 13.65% discount to NAV. The fund reports a high current dividend rate of 22.38% paid monthly but cautions distributions may include return of capital. Portfolio exposure is concentrated in senior secured loans (96.56%) across ~2,056 loans to 1,502 obligors, with a weighted average loan price of 97.58 and a last 12-month default rate of 1.33%, below the loan market default rate of 3.86%.

Positive

• High current dividend rate of 22.38% paid monthly, attractive to income-focused investors
• Concentrated exposure to senior secured loans (96.56%), which typically have stronger recovery prospects than unsecured claims
• Reported 12-month default rate of 1.33% for underlying loans, below the loan market default rate of 3.86%

Negative

• Shares trade at a 13.65% discount to estimated NAV, indicating market valuation below stated net assets
• Distributions may be funded from offering proceeds or borrowings, which can constitute a return of capital and reduce invested capital
• Fund invests primarily in below investment grade securities and CLO junior debt/equity, which carry elevated credit, liquidity, and structural risks

Insights

Credit Portfolio Analyst

TL;DR: Fund yields are high but trade at a meaningful NAV discount; portfolio is concentrated in CLO/junior credit with comparatively low reported default activity.

The portfolio's heavy weighting to senior secured loans and CLO liabilities (96.56% senior secured exposure) supports principal protection characteristics relative to subordinate tranches, while the weighted average loan price of 97.58 suggests collateral market values near par. The reported 12-month default rate of 1.33% versus a 3.86% market rate is favorable on its face, though investors should note underlying credit quality is below investment grade and concentrated across CLO structures which carry structural and liquidity risks uncommon to plain corporate bonds.

Risk & Governance Specialist

TL;DR: Material investor risks include a large NAV discount, high distribution rate potentially funded by return of capital, and exposure to junior CLO securities.

The 13.65% discount to NAV is significant and may reflect market concerns about sustainability of distributions or liquidity. The fund explicitly warns distributions may be funded from offering proceeds or borrowings, which can reduce capital and is a governance/structural risk. High insider ownership (23.41%) aligns manager and insider incentives but may concentrate voting power. Overall, the disclosure signals heightened income appeal balanced by meaningful capital and structural risks.

FAQ

What is CCIF's NAV and market price as of July 2025?

Estimated NAV is $6.52 per share and the closing market price is $5.63, implying a 13.65% discount to NAV.

How large is CCIF and what is its market capitalization?

Total net assets are estimated at $138.19 million and total market capitalization is $119.35 million.

What yield does CCIF report and how often are distributions paid?

CCIF reports a current dividend rate of 22.38% with distributions paid monthly.

What is the portfolio composition and credit exposure?

Portfolio shows 96.56% exposure to senior secured loans, 0.61% second lien, and positions in CLO debt and equity; currency is USD and exposure is 100%.

What are the reported default metrics for CCIF?

CCIF's last 12-month default rate including distressed exchanges is 1.33%, compared with a loan market default rate of 3.86% per the report.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

Accepted by SEC EDGAR 08/15/2025 - 04:05 PM Learn about SEC filing dates

CARLYLE CREDIT INCOME FUND (CCIF) ​​July​ 2025 Obligor % Total First Lien Loan 96.56% Unsecured Loan 0.00% Second Lien Loan 0.61% Senior Secured Bond 1.80% Senior Unsecured Bond 0.98% Unsecured Bond 0.05% Total 100.00% 1 Past performance is not indicative of future results or a guarantee of future returns. Please review the Important Information. 1. J.P. Morgan Default Monitor as of ​​July 31​, 2025. Ticker Symbol CCIF Total Net Asset Value (est.) $ ​​138.19​ Million Net Asset Value per share (est.) $ ​​6.52​ Closing Price per share $ ​​5.63​ Premium / Discount -13.65%​ Total Market Capitalization $119.35 Million Current Dividend Rate ​​22.38%​ Frequency of Common Stock Dividend Payments Monthly Insider Ownership 23.41% PIE CHART Reference PPT template for styling PORTFOLIO SUMMARY Number of Unique Underlying Loan Obligors ​​1,502​ Number of Underlying Loans ​​2,056​ Aggregate Balance of Underlying Loans 25.71 Billion Average Individual Loan Obligor Exposure 0.07% Currency: USD Exposure 100.00% Aggregate Indirect Exposure to Senior Secured Loans 96.56% Weighted Average Junior OC Cushion 4.42% Weighted Average Market Price of Loan Collateral 97.58 TOP 5 EQUITY POSITIONS Apidos CLO XXXIII 5.71% Voya CLO 2020-2 4.45% Madison Park Funding LXII 4.25% OCP CLO 2015-9 4.11% Rad CLO 3 3.69% DIVERSIFICATION BY CREDIT TYPE OF UNDERLYING OBILIGORS SUMMARY OF UNDERLYING PORTFOLIO COMMON STOCK DATA AS OF 7/31/2025 TOP 5 POSITIONS Weighted Average Remaining CLO Reinvestment Period 3.28 years CCIF’s Last 12 Month Default Rate including Distressed Exchanges of Underlying Loans 1.33% Loan Market Default Rate including Distressed Exchanges1 3.86% Ticker Symbol CCIA Closing Price per share $ ​​25.78​ LISTED PREFERRED STOCK DATA AS OF 7/31/2025 0.12% 98.84% 1.04% CLO Debt CLO Equity Legacy Real Estate Loans

Wtd Avg = 4.5 years Obligor % Total Calpine 0.51% Medline 0.50% TransDigm 0.49% Quikrete Companies 0.47% Sedgwick Claims Management Service 0.46% TIBCO Software 0.45% Belron Finance US 0.42% Asurion 0.41% Acrisure 0.40% Citadel Securities LP 0.40% Total 4.51% 2 TOP 10 INDUSTRIES OF UNDERLYING OBLIGORS Industry % Total High Tech 12.23% Healthcare & Pharmaceuticals 11.30% Banking, Finance, Insurance & Real Estate 10.65% Services: Business 8.29% Hotels, Gaming & Leisure 4.98% Construction & Building 4.88% Capital Equipment 4.11% Beverage, Food & Tobacco 3.96% Chemicals, Plastics & Rubber 3.74% Aerospace & Defense 3.70% Total 67.84% WEIGHTED AVERAGE RATING DISTRIBUTION1 WEIGHTED AVERAGE MATURITY DISTRIBUTION1 TOP 10 UNDERLYING OBLIGORS TOP 10 INDUSTRIES OF UNDERLYING OBLIGORS WEIGHTED AVERAGE STATED SPREAD DISTRIBUTION1WEIGHTED AVERAGE PRICE DISTRIBUTION1 UNDERLYING LOAN METRICS CARLYLE CREDIT INCOME FUND (CCIF) ​​July​ 2025 Wtd Avg = 97.58 Wtd Avg = 3.22% Past performance is not indicative of future results or a guarantee of future returns. Please review the Important Information. 1. Percentages may not sum due to rounding. Wtd Avg = B+

IMPORTANT INFORMATION © 2025 Carlyle Credit Income Fund. All Rights Reserved Investors should consult with their financial advisor about the suitability of CCIF in their portfolio. Investing in CCIF involves a high degree of risk, including the risk that you may receive little or no return on your investment or that you may lose part or all of your investment. This is a non-diversified closed-end fund. Shares of CCIF’s common stock are listed on the New York Stock Exchange. Shares of closed-end funds frequently trade at a discount from their net asset value (NAV), which may increase investors’ risk of loss. CCIF cannot predict whether its shares will trade at, below or above NAV. There is no assurance that CCIF’s investment objectives will be achieved or that monthly distributions paid by CCIF will be maintained at the targeted level or that dividends will be paid at all. CCIF’s distributions may be funded from unlimited amounts of offering proceeds or borrowings, which may constitute a return of capital and reduce the amount of capital available to CCIF for investment. A return of capital to shareholders is a return of a portion of their original investment in CCIF, thereby reducing the tax basis of their investment. This material is provided for general and educational purposes only, is not intended to provide legal or tax advice, does not constitute a solicitation of an offer to buy or sell CCIF’s shares, and is not for use to avoid any penalties that may be imposed under U.S. federal tax laws. Contact your attorney or other advisor regarding your specific legal, investment or tax situation. Investing involves risk. CCIF invests primarily in below investment grade instruments, which are commonly referred to as “high yield” securities or “junk” bonds. CCIF invests a significant portion of its assets in CLO junior debt and equity securities, which often involve risks that are different from or more pronounced than risks associated with other types of credit instruments. Because of the risks associated with investing in high yield securities, an investment in CCIF should be considered speculative. Investors should carefully consider the investment objective, risks, charges and expenses of CCIF before investing. CCIF’s filings with the Securities and Exchange Commission (“SEC”) contain information about CCIF’s investment objectives, risks, charges and expenses as well as other information about CCIF. These filings should be read carefully before investing. CCIF’s filings with the SEC may be found on the SEC’s website (www.sec.gov) or on CCIF’s website, www.carlylecreditincomefund.com. ABOUT CARLYLE The Carlyle Group (NASDAQ: CG) is a global investment firm with deep industry experience that deploys private capital across three business segments: Global Private Equity, Global Credit and Carlyle AlpInvest. With approximately $465 billion of assets under management as of June 30, 2025, Carlyle’s purpose is to invest wisely and create value on behalf of its investors, portfolio companies and the communities in which we live and invest. The Carlyle Group employs more than 2,300 people in 27 offices across 4 continents as of June 30, 2025. 3 CARLYLE CREDIT INCOME FUND (CCIF) ​​July​ 2025 Past performance is not indicative of future results or a guarantee of future returns. Please review the Important Information.