FS Credit Income Fund Extends Management Fee Waiver
FS Credit Income Fund, a closed-end interval fund sponsored by Future Standard, has updated its fee structure, effective Dec. 2, 2025.
FS Credit Income Advisor, an affiliate of Future Standard, has extended its commitment to temporarily waive its management fee from the previous end date of Dec. 31, 2025, to a new end date of March 31, 2026.
Under the fund’s investment advisory agreement, FS Credit Income Advisor is entitled to a management fee of 1% of the average daily value of the fund’s gross assets, calculated and payable quarterly in arrears.
The management fee may or may not be taken, in whole or in part, at the discretion of FS Credit Income Advisor. Any portion of the management fee not taken in a quarter will be deferred without interest and may be taken in any subsequent quarter as the adviser determines. The fee for any partial quarter will be appropriately prorated.
Recently, the interval fund entered into a three-year equity total return swap with Nomura Global Financial Products Inc. to gain economic exposure to up to $25 million in shares of the newly listed FS Specialty Lending Fund. The company will receive dividends and any price appreciation on the shares, while paying a monthly financing fee of 2.5% plus the overnight bank funding rate.
Additionally, FS Credit Income Fund must post daily collateral equal to 70% of the shares’ current value, and the swap can be terminated early under certain conditions.
As of Dec. 1, 2025, the fund’s daily net asset value was $12.01, and as of Nov. 30, its annualized distribution rate was 10.02%. For the nine months ended July 31, 2025, FS Credit Income Fund’s distributions were funded through 84.3% net investment income and 15.7% return of capital or other capital sources.
Previously reported by AltsWire, the interval fund announced substantial distribution rate increases across all of its share classes.
Class I shares and Class A shares are not subject to a distribution fee. Class U and Class T shares pay to the distributor a distribution fee that accrues at an annual rate equal to 0.75%and 0.25%, respectively, of the fund’s average daily net assets attributable to the respective share class and is payable on a monthly basis.
According to the fund’s website, FS Credit Income Fund is an opportunistic, alternative credit solution that seeks to provide strong total returns with an attractive level of income by dynamically investing across public and private credit. With a share class inception date of November 2017, the interval fund is managed by the FS Global Credit team, which reported $7.3 billion in assets.
Future Standard is a global alternative asset manager serving institutional and private wealth clients, investing across private equity, credit and real estate. It reported $86 billion in assets under management as of June 30, 2025.
For more Future Standard news, please visit their directory page.
