Octagon urges XFLT shareholders to oppose sub-adviser switch to Rockford Tower
XFLT•Octagon’s preferred structure
Octagon sought to replace the current structure by becoming the adviser, removing the sub-adviser role, alongside board changes.
Fee economics and alternative proposal
Octagon said the proposed change would shift more fee economics to adviser XA Investments via a discounted sub-advisory fee.
Octagon pushed an alternative plan centered on a management fee cut to 1.3% from 1.7% and steps to narrow the fund’s discount to NAV.
Octagon urges vote against sub-adviser replacement
Octagon, XFLT’s long-time sub-adviser since 2017, urged shareholders to vote against replacing it with Rockford Tower at a July 30, 2026 special meeting.
Octagon argued Rockford Tower lacks closed-end fund experience and cited instability at parent King Street, including senior partner departures and investor withdrawals.
