Overview

Historical Returns (%) as of Mar 31, 2024

Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund’s current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than or equal to one year is cumulative.
 

Fund Facts as of May 31, 2024

Performance Inception 09/29/2023
Investment Objective High current income
Minimum Investment $1000000
Expense Ratio (Gross)2 3.54%
Expense Ratio (Net)2,3 2.66%
CUSIP 27831J205
Adjusted Expense Ratios excludes certain investment expenses such as interest expense from borrowings and repurchase agreements and dividend expense from short sales, incurred directly by the Fund or indirectly through the Fund’s investment in underlying Eaton Vance Funds, if applicable none of which are paid to Eaton Vance.

Top 10 Issuers (%)4 as of Apr 30, 2024

CLO Carlyle CGMS 2022-6A 5.62
CLO BSP 2023-32A 5.55
CLO Octagon 68 23-1A 5.53
CLO ELM11 2021-4A 4.59
CLO TCW 2019-2A 3.68
CLO Basswood Park Bark 2021-1A 3.67
CLO Golub Capital 2020-52A R 3.67
CLO OCPA 2023-29A 3.67
CLO Crown City CLO I 20-1A 3.55
CLO Canyon Capital 2020-2A CLO LTD 3.02
Total 42.53
 

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

RISK CONSIDERATIONS 

An investment in the Fund is considered an illiquid investment, designed for long-term investors who can tolerate risk and do not require a liquid investment. The Fund's Shares are not listed on any securities exchange, are not publicly-traded, there is no secondary market for the Shares and none is expected to develop. The Fund will offer limited liquidity through a quarterly repurchase policy under Rule 23c-3 under the 1940 Act, but there is no guarantee that shareholders will be able to sell Shares at any given time or in the quantity desired. Subject to applicable law and approval of the Board of Trustees of the Fund, the Fund currently expects to offer to repurchase 5% of the Fund’s outstanding Shares at NAV for each quarterly repurchase offer. Repurchases may be oversubscribed, preventing shareholders from selling some or all of their tendered Shares back to the Fund. In addition, share repurchases decrease Fund assets, may have the effect of increasing the Fund's expense ratio, may compound the adverse effects of leverage in a declining market, and may negatively impact investment performance by forcing the Fund to maintain a higher percentage of liquid investments or liquidate certain investments when not desirable to do so. If the Fund borrows money to finance repurchases, interest on that borrowing will negatively affect shareholders who do not tender their Shares by increasing Fund expenses and reducing any net investment income. The value of investments held by the Fund may increase or decrease in response to economic, and financial events (whether real, expected or perceived) in the U.S. and global markets. Loans are traded in a private, unregulated inter-dealer or inter-bank resale market and are generally subject to contractual restrictions that must be satisfied before a loan can be bought or sold. These restrictions may impede the Fund's ability to buy or sell loans (thus affecting their liquidity) and may negatively impact the transaction price. It may take longer than seven days for transactions in loans to settle. Due to the possibility of an extended loan settlement process, the Fund may hold cash, sell investments or temporarily borrow from banks or other lenders to meet short-term liquidity needs. Loans may be structured such that they are not securities under securities law, and in the event of fraud or misrepresentation by a borrower, lenders may not have the protection of the anti-fraud provisions of the federal securities laws. Loans are also subject to risks associated with other types of income investments. Investments in debt instruments may be affected by changes in the creditworthiness of the issuer and are subject to the risk of non-payment of principal and interest. The value of income securities also may decline because of real or perceived concerns about the issuer's ability to make principal and interest payments. Borrowing to increase investments ("leverage") may exaggerate the effect of any increase or decrease in the value of Fund investments. Investments rated below investment grade (sometimes referred to as "junk") are typically subject to greater price volatility and illiquidity than higher rated investments. As interest rates rise, the value of certain income investments is likely to decline. The London Interbank Offered Rate or LIBOR, is used throughout global banking and financial industries to determine interest rates for a variety of financial instruments (such as debt instruments and derivatives) and borrowing arrangements. The ICE Benchmark Administration Limited, the administrator of LIBOR, ceased publishing certain LIBOR settings on December 31, 2021, and is expected to cease publishing the remaining LIBOR settings on June 30, 2023. The transition process may involve, among other things, increased volatility or illiquidity in markets for instruments that currently rely on LIBOR, such as floating-rate debt obligations. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical, currency exchange rates or other conditions. Changes in the value of investments entered for hedging purposes may not match those of the position being hedged. The Fund is exposed to liquidity risk when trading volume, lack of a market maker or trading partner, large position size, market conditions, or legal restrictions impair its ability to sell particular investments or to sell them at advantageous market prices. The impact of the coronavirus on global markets could last for an extended period and could adversely affect the Fund’s performance. No fund is a complete investment program and you may lose money investing in a fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.

See the Fund's prospectus for information related to a primary benchmark index selected (if applicable) to comply with a regulation that requires the Fund's primary benchmark to represent the overall applicable market.


Performance

Historical Returns (%) as of Mar 31, 2024

Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund’s current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than or equal to one year is cumulative.
 

Fund Facts

Performance Inception 09/29/2023
Expense Ratio (Gross)2 3.54%
Expense Ratio (Net)2,3 2.66%
Distribution Frequency Monthly
Adjusted Expense Ratios excludes certain investment expenses such as interest expense from borrowings and repurchase agreements and dividend expense from short sales, incurred directly by the Fund or indirectly through the Fund’s investment in underlying Eaton Vance Funds, if applicable none of which are paid to Eaton Vance.
 

NAV History

Date NAV NAV Change
Jun 14, 2024 $10.25 -$0.01
Jun 13, 2024 $10.26 $0.00
Jun 12, 2024 $10.26 $0.00
Jun 11, 2024 $10.26 -$0.01
Jun 10, 2024 $10.27 -$0.01
Jun 07, 2024 $10.28 $0.00
Jun 06, 2024 $10.28 $0.00
Jun 05, 2024 $10.28 $0.00
Jun 04, 2024 $10.28 $0.00
Jun 03, 2024 $10.28 $0.00
 

Distribution History5

Ex-Date Distribution Reinvest NAV
May 31, 2024 $0.08658 $10.28
Apr 30, 2024 $0.08039 $10.20
Mar 28, 2024 $0.08052 $10.21
Feb 29, 2024 $0.07978 $10.16
Jan 31, 2024 $0.08618 $10.19
Dec 29, 2023 $0.09507 $10.17
Nov 30, 2023 $0.08069 $10.05
Oct 31, 2023 $0.05399 $9.94

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

RISK CONSIDERATIONS 

An investment in the Fund is considered an illiquid investment, designed for long-term investors who can tolerate risk and do not require a liquid investment. The Fund's Shares are not listed on any securities exchange, are not publicly-traded, there is no secondary market for the Shares and none is expected to develop. The Fund will offer limited liquidity through a quarterly repurchase policy under Rule 23c-3 under the 1940 Act, but there is no guarantee that shareholders will be able to sell Shares at any given time or in the quantity desired. Subject to applicable law and approval of the Board of Trustees of the Fund, the Fund currently expects to offer to repurchase 5% of the Fund’s outstanding Shares at NAV for each quarterly repurchase offer. Repurchases may be oversubscribed, preventing shareholders from selling some or all of their tendered Shares back to the Fund. In addition, share repurchases decrease Fund assets, may have the effect of increasing the Fund's expense ratio, may compound the adverse effects of leverage in a declining market, and may negatively impact investment performance by forcing the Fund to maintain a higher percentage of liquid investments or liquidate certain investments when not desirable to do so. If the Fund borrows money to finance repurchases, interest on that borrowing will negatively affect shareholders who do not tender their Shares by increasing Fund expenses and reducing any net investment income. The value of investments held by the Fund may increase or decrease in response to economic, and financial events (whether real, expected or perceived) in the U.S. and global markets. Loans are traded in a private, unregulated inter-dealer or inter-bank resale market and are generally subject to contractual restrictions that must be satisfied before a loan can be bought or sold. These restrictions may impede the Fund's ability to buy or sell loans (thus affecting their liquidity) and may negatively impact the transaction price. It may take longer than seven days for transactions in loans to settle. Due to the possibility of an extended loan settlement process, the Fund may hold cash, sell investments or temporarily borrow from banks or other lenders to meet short-term liquidity needs. Loans may be structured such that they are not securities under securities law, and in the event of fraud or misrepresentation by a borrower, lenders may not have the protection of the anti-fraud provisions of the federal securities laws. Loans are also subject to risks associated with other types of income investments. Investments in debt instruments may be affected by changes in the creditworthiness of the issuer and are subject to the risk of non-payment of principal and interest. The value of income securities also may decline because of real or perceived concerns about the issuer's ability to make principal and interest payments. Borrowing to increase investments ("leverage") may exaggerate the effect of any increase or decrease in the value of Fund investments. Investments rated below investment grade (sometimes referred to as "junk") are typically subject to greater price volatility and illiquidity than higher rated investments. As interest rates rise, the value of certain income investments is likely to decline. The London Interbank Offered Rate or LIBOR, is used throughout global banking and financial industries to determine interest rates for a variety of financial instruments (such as debt instruments and derivatives) and borrowing arrangements. The ICE Benchmark Administration Limited, the administrator of LIBOR, ceased publishing certain LIBOR settings on December 31, 2021, and is expected to cease publishing the remaining LIBOR settings on June 30, 2023. The transition process may involve, among other things, increased volatility or illiquidity in markets for instruments that currently rely on LIBOR, such as floating-rate debt obligations. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical, currency exchange rates or other conditions. Changes in the value of investments entered for hedging purposes may not match those of the position being hedged. The Fund is exposed to liquidity risk when trading volume, lack of a market maker or trading partner, large position size, market conditions, or legal restrictions impair its ability to sell particular investments or to sell them at advantageous market prices. The impact of the coronavirus on global markets could last for an extended period and could adversely affect the Fund’s performance. No fund is a complete investment program and you may lose money investing in a fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.

See the Fund's prospectus for information related to a primary benchmark index selected (if applicable) to comply with a regulation that requires the Fund's primary benchmark to represent the overall applicable market.


Portfolio

Asset Mix (%)4 as of Apr 30, 2024

Portfolio Statistics as of Apr 30, 2024

Average Coupon 10.76%
Average Maturity 7.82 yrs.
Average Price $99.03
YTM $10.99
Average Duration 0.12 yrs.
 

Sector Breakdown (%)4 as of Apr 30, 2024

Software 8.74
Hotels Restaurants & Leisure 3.27
Chemicals 3.13
Professional Services 2.47
Machinery 2.26
Aerospace & Defense 1.83
Insurance 1.82
Specialty Retail 1.81
IT Services 1.79
Ground Transportation 1.68
View All

Credit Quality (%)6 as of Apr 30, 2024

BBB 0.57
BB 46.68
B 33.43
CCC or Lower 4.18
Not Rated 15.15
Total 100.00
Credit ratings are categorized using S&P. Ratings, which are subject to change, apply to the creditworthiness of the issuers of the underlying securities and not to the Fund or its shares. Credit ratings measure the quality of a bond based on the issuer's creditworthiness, with ratings ranging from AAA, being the highest, to D, being the lowest based on S&P's measures. Ratings of BBB or higher by S&P are considered to be investment-grade quality. Credit ratings are based largely on the ratings agency's analysis at the time of rating. The rating assigned to any particular security is not necessarily a reflection of the issuer's current financial condition and does not necessarily reflect its assessment of the volatility of a security's market value or of the liquidity of an investment in the security. Holdings designated as "Not Rated" are not rated by S&P.
 

Maturity Distribution (%)6 as of Apr 30, 2024

Less Than 1 Year 0.24
1 To 3 Years 5.40
3 To 5 Years 30.54
5 To 10 Years 24.50
10 To 20 Years 39.32
20 To 30 Years 0.00
More Than 30 Years 0.00
Total 100.00

Top 10 Sectors (%) as of Apr 30, 2024

 

Assets by Country (%)4 as of Apr 30, 2024

United States 96.92
Canada 0.92
Luxembourg 0.73
Germany 0.86
Netherlands 0.57

Loan Type (%)7,8 as of Apr 30, 2024

First Lien 100.00
Second Lien 0.00
 

Fund Holdings4,9 as of Apr 30, 2024

Holding Coupon Rate Maturity Date % of Net Assets
MSILF GOVERNMENT PORTFOLIO 5.20% 12/31/2030 8.32%
Benefit Street Partners CLO XXXII Ltd 12.71% 10/25/2036 6.00%
Carlyle US CLO 2022-6 Ltd 13.22% 10/25/2036 5.76%
Octagon 68 Ltd 12.56% 10/20/2036 5.67%
Elmwood CLO XI Ltd 11.59% 10/20/2034 4.70%
OCP Aegis CLO 2023-29 Ltd 13.05% 01/20/2035 3.93%
TCW CLO 2019-2 Ltd 11.97% 10/20/2032 3.77%
Basswood Park CLO Ltd 11.74% 04/20/2034 3.76%
Golub Capital Partners CLO 52B Ltd 12.07% 04/20/2037 3.76%
Crown City CLO I 12.59% 07/20/2034 3.64%
View All

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

RISK CONSIDERATIONS 

An investment in the Fund is considered an illiquid investment, designed for long-term investors who can tolerate risk and do not require a liquid investment. The Fund's Shares are not listed on any securities exchange, are not publicly-traded, there is no secondary market for the Shares and none is expected to develop. The Fund will offer limited liquidity through a quarterly repurchase policy under Rule 23c-3 under the 1940 Act, but there is no guarantee that shareholders will be able to sell Shares at any given time or in the quantity desired. Subject to applicable law and approval of the Board of Trustees of the Fund, the Fund currently expects to offer to repurchase 5% of the Fund’s outstanding Shares at NAV for each quarterly repurchase offer. Repurchases may be oversubscribed, preventing shareholders from selling some or all of their tendered Shares back to the Fund. In addition, share repurchases decrease Fund assets, may have the effect of increasing the Fund's expense ratio, may compound the adverse effects of leverage in a declining market, and may negatively impact investment performance by forcing the Fund to maintain a higher percentage of liquid investments or liquidate certain investments when not desirable to do so. If the Fund borrows money to finance repurchases, interest on that borrowing will negatively affect shareholders who do not tender their Shares by increasing Fund expenses and reducing any net investment income. The value of investments held by the Fund may increase or decrease in response to economic, and financial events (whether real, expected or perceived) in the U.S. and global markets. Loans are traded in a private, unregulated inter-dealer or inter-bank resale market and are generally subject to contractual restrictions that must be satisfied before a loan can be bought or sold. These restrictions may impede the Fund's ability to buy or sell loans (thus affecting their liquidity) and may negatively impact the transaction price. It may take longer than seven days for transactions in loans to settle. Due to the possibility of an extended loan settlement process, the Fund may hold cash, sell investments or temporarily borrow from banks or other lenders to meet short-term liquidity needs. Loans may be structured such that they are not securities under securities law, and in the event of fraud or misrepresentation by a borrower, lenders may not have the protection of the anti-fraud provisions of the federal securities laws. Loans are also subject to risks associated with other types of income investments. Investments in debt instruments may be affected by changes in the creditworthiness of the issuer and are subject to the risk of non-payment of principal and interest. The value of income securities also may decline because of real or perceived concerns about the issuer's ability to make principal and interest payments. Borrowing to increase investments ("leverage") may exaggerate the effect of any increase or decrease in the value of Fund investments. Investments rated below investment grade (sometimes referred to as "junk") are typically subject to greater price volatility and illiquidity than higher rated investments. As interest rates rise, the value of certain income investments is likely to decline. The London Interbank Offered Rate or LIBOR, is used throughout global banking and financial industries to determine interest rates for a variety of financial instruments (such as debt instruments and derivatives) and borrowing arrangements. The ICE Benchmark Administration Limited, the administrator of LIBOR, ceased publishing certain LIBOR settings on December 31, 2021, and is expected to cease publishing the remaining LIBOR settings on June 30, 2023. The transition process may involve, among other things, increased volatility or illiquidity in markets for instruments that currently rely on LIBOR, such as floating-rate debt obligations. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical, currency exchange rates or other conditions. Changes in the value of investments entered for hedging purposes may not match those of the position being hedged. The Fund is exposed to liquidity risk when trading volume, lack of a market maker or trading partner, large position size, market conditions, or legal restrictions impair its ability to sell particular investments or to sell them at advantageous market prices. The impact of the coronavirus on global markets could last for an extended period and could adversely affect the Fund’s performance. No fund is a complete investment program and you may lose money investing in a fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.

See the Fund's prospectus for information related to a primary benchmark index selected (if applicable) to comply with a regulation that requires the Fund's primary benchmark to represent the overall applicable market.


Management

Andrew N. Sveen, CFA

Andrew N. Sveen, CFA

Managing Director, Chairman of MSIM Fixed Income and Head of Floating-Rate Loans
Joined Eaton Vance 1999

Biography

Andrew Sveen is the Chairman of MSIM Fixed Income. In addition, he is the Head of Floating-Rate Loans and a portfolio manager on the Floating-Rate Loans team. He is responsible for buy and sell decisions, portfolio construction, and risk management for the firm's floating-rate loan strategies. He joined Eaton Vance in 1999. Morgan Stanley acquired Eaton Vance in March 2021.

Andrew began his career in the investment industry in 1995. Previously at Eaton Vance, he was a Director within Loan Trading and Capital Markets. Before joining Eaton Vance, he worked as a corporate lending officer at State Street Bank.

Andrew earned a B.A. from Dartmouth College and an M.B.A. from the William E. Simon School at the University of Rochester. He also holds the Chartered Financial Analyst designation. Andrew serves as a member of the Board of Directors of the Loan Syndications and Trading Association (LSTA).

Education
  • B.A. Dartmouth College
  • M.B.A. University of Rochester

Experience
  • Managed Fund since inception

 
Ralph Hinckley, CFA

Ralph Hinckley, CFA

Managing Director, Portfolio Manager
Joined Eaton Vance 2003

Biography

Ralph Hinckley is a portfolio manager on the Floating-Rate Loans team. He is responsible for buy and sell decisions, portfolio construction and risk management for the firm's floating-rate loan strategies. He joined Eaton Vance in 2003. Morgan Stanley acquired Eaton Vance in March 2021.

Ralph began his career in the investment management industry in 1997. Before joining Eaton Vance, he was a vice president in the communications lending division of Citizens Bank and its credit training program and a lending officer at State Street Bank.

Ralph earned a B.A. from Bates College and an MBA, with honors, from Boston University Graduate School of Management. He is a member of the CFA Society Boston and is a CFA charterholder.

Education
  • B.A. Bates College
  • M.B.A. Boston University

Experience
  • Managed Fund since inception

 
Edward J. Greenaway, CFA

Edward J. Greenaway, CFA

Executive Director, Head of CLO Portfolio Management
Joined Eaton Vance 2008

Biography

Edward Greenaway is the Head of CLO Portfolio Management for MSIM. His responsibilities include buy and sell decisions, portfolio construction and risk management across the firm’s 20 managed CLOs and third-party CLO tranches. Ed has held a variety of roles within legacy Eaton Vance's loan platform including work as a structured products specialist and Portfolio Manager focused on the Firm's CLO tranche investments as well as serving as a credit analyst. Having joined legacy Eaton Vance in 2008, he has been a central figure in the growth and success of the MSEV platform and provides a unique perspective on the business with his experience in both CLO credit and investing.

Ed began his career in the investment management industry in 2006. Before joining Eaton Vance in 2008, he was a CDO analyst with U.S. Bank. Morgan Stanley acquired Eaton Vance in March 2021.

Ed earned a B.A. from St. Anselm's College and a graduate degree in Finance from Boston College. He is a CFA charterholder.

Education
  • B.A. Saint Anselm College
  • M.S. Boston College

Experience
  • Managed Fund since inception

 
Steve Sebo

Steve Sebo

Executive Director, Portfolio Manager

Biography

Steve Sebo is the Head of CLO Structuring and Capital Markets for MSIM. His primary responsibilities include structuring of MSEVCLOs, leading the firm's CLO origination and capital markets efforts and investing in third party CLO tranches. He joined Morgan Stanley in August of 2022.

Before joining Morgan Stanley, he worked at Wells Fargo as a senior member of the firm's CLO and Private Credit banking team. Prior to Wells Fargo, Steve began his career in 2008 at Bank of America as a financial analyst. Steve earned a B.A. degree in Economics from Bucknell University.

Education
  • B.A. Economics, Bucknell University

Experience
  • Managed Fund since inception

 

Literature

Literature

Fact Card

Download Fact Card - Last updated: Mar 31, 2024

Floating-Rate Loan Market Monitor

Download Floating-Rate Loan Market Monitor - Last updated: Mar 31, 2024

Repurchase Calendar

Download Repurchase Calendar - Last updated: Sep 29, 2023

Full Prospectus

Download Full Prospectus - Last updated: Sep 29, 2023

Q3 Holdings

Download Q3 Holdings - Last updated: Feb 29, 2024

Fund Presentation

Download Fund Presentation - Last updated: Mar 31, 2024

Shareholder Repurchase Offer Notice

Download Shareholder Repurchase Offer Notice - Last updated: Dec 18, 2023

SAI

Download SAI - Last updated: Sep 29, 2023

Semi-Annual Report

Download Semi-Annual Report - Last updated: Nov 30, 2023