Mount Logan Interval Fund to Acquire Yieldstreet Alternative Income Fund in $100M-Plus Asset Deal
By Damon Elder
Mount Logan Capital’s Opportunistic Credit Interval Fund has agreed to acquire more than $100 million in assets from the Yieldstreet Alternative Income Fund in a tax-free reorganization, the companies announced, adding scale to a credit interval fund managed by the Nasdaq-listed alternative asset manager.
The Opportunistic Credit Interval Fund, known as SOFIX and managed by Mount Logan Management LLC, a wholly owned subsidiary of Mount Logan Capital Inc. (Nasdaq: MLCI), will receive the assets of Yieldstreet Alternative Income Fund Inc. in exchange for newly issued SOFIX shares.
Both funds’ boards have unanimously approved the deal. Closing is expected in late second or third quarter of 2026, subject to regulatory approval and a shareholder vote by Yieldstreet Alternative Income Fund investors. The transaction does not require a vote of SOFIX shareholders.
Yieldstreet Alternative Income Fund reported net assets of approximately $136 million as of Dec. 31, 2025, according to the fund’s annual report filed with the SEC. SOFIX reported net assets of approximately $151 million as of March 18, 2026. The combined vehicle would hold approximately $287 million or more in assets at closing, subject to fluctuations in value between now and the transaction date.
In connection with the transaction, Yieldstreet Alternative Income Fund has suspended its share offering. Its automatic distribution reinvestment plan remains in effect. The fund also extended its existing issuer tender offer — under which shareholders can tender shares at net asset value — from March 20 to April 6, 2026, describing the current offer as the last opportunity for shareholders to exit before the asset acquisition closes. The fund’s most recently reported NAV was $9.35 per share as of March 18.
Mount Logan said it expects the acquisition to increase SOFIX’s fee-related earnings by at least $2.8 million annually, representing more than 30% of Mount Logan’s trailing 12-month fee-related earnings as of Dec. 31, 2025, and said the deal would be immediately accretive upon closing.
Mount Logan also entered into a two-year transition services agreement with Willow Asset Management LLC, the investment adviser to Yieldstreet Alternative Income Fund. Under the agreement, Willow will provide Mount Logan access to the fund’s books and records for up to $2 million in cash, $1 million in newly issued Mount Logan Capital common stock, and up to $2 million in additional cash consideration paid quarterly over two years.
“This transaction is a significant milestone for Mount Logan and is our first strategic assets under management acquisition since our business combination with 180 Degree Capital,” said Ted Goldthorpe, chief executive officer of Mount Logan. “Scaling permanent and semi-permanent capital vehicles is central to our long-term strategy.”
Ted Yarbrough, chief investment officer at Willow Wealth, said moving the fund’s assets into a larger, specialized vehicle represents a logical step for Yieldstreet Alternative Income Fund investors.
About the Funds
The Yieldstreet Alternative Income Fund launched in March 2020 — originally named the Yieldstreet Prism Fund — as a registered ’40 Act interval fund available to both accredited and non-accredited investors, a feature that distinguishes it from most private credit products in the retail market. The fund invests across private credit, specialty finance, and real asset-backed strategies and holds more than 50 income-focused positions. Its fiscal year 2025 annual report disclosed a total return of 3.04% and net assets of $135.9 million as of Dec. 31, 2025.
The fund’s adviser, formerly YieldStreet Management LLC, rebranded to Willow Asset Management LLC in late 2025 when parent company Yieldstreet Inc. renamed itself Willow Wealth Inc. The rebrand came amid a period of scrutiny and investor losses at the broader Yieldstreet platform. CNBC reported in late 2025 that Willow Wealth had disclosed more than $208 million in cumulative losses to investors across its direct-lending and real estate offerings — losses distinct from the Alternative Income Fund’s portfolio — including defaults on marine loan portfolios and real estate projects. The company removed historical performance data from its website around the time of the rebrand. In September 2023, the U.S. Securities and Exchange Commission settled charges against Yieldstreet Inc. and its registered investment adviser subsidiary for $1.9 million related to failure to disclose material information to investors in connection with a marine investment portfolio. The Alternative Income Fund is a separately registered vehicle under the Investment Company Act of 1940 with its own distinct portfolio and regulatory filings.
SOFIX is a registered ’40 Act interval fund that launched in July 2022 and is managed by Mount Logan Management. The fund targets private originations and secondary investments in North American and European middle markets across private debt, structured equity, physical assets, and event-driven credit. It gained 9.8% in its fiscal year ended Sept. 30, 2025, outpacing the Morningstar LSTA Leveraged Loan Index return of 7% for the same period. SOFIX carries a $1 million minimum investment and offers quarterly redemptions of no less than 5% of shares outstanding.
Mount Logan Capital Inc. is a New York-based integrated alternative asset management and insurance solutions firm with more than $2.1 billion in assets under management as of Dec. 31, 2025. Its subsidiaries include Mount Logan Management and Ability Insurance Company.
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