Voya Senior Income Fund - Closed-End Interval Fund
Interval Fund can Maximize Benefits of Senior Loans
Interval structure reduces the need to hold cash in the fund, permits the use of leverage to potentially enhance yield and provides for orderly redemptions on a monthly basis at net asset value.
The Voya Senior Income Fund - Closed-End Interval Fund Offers
Risk-Adjusted Approach
Loss Avoidance Driven by Rigorous Credit Underwriting
Emphasis on Diversification and Liquidity
Product Facts
| Ticker Symbol | XSIAX |
| CUSIP | 92913F109 |
| Inception Date | April 2, 2001 |
| Dividends Paid | Monthly |
| Min. Initial Investment | $1,000.00 |
About this Product
- Interval fund designed to provide investors with a high level of monthly income
- Invests in ultra-short duration floating rate loans that reset every 30, 60 or 90 days, making the Fund less affected by rising interest rates than many other fixed income funds
- Typically invests in senior secured asset-backed loans that are generally first in line to be repaid in the event of financial difficulty
- Invests at least 80% of its assets in below investment grade quality loans made to business entities domiciled in the U.S. and Canada
- As a fundamental policy, which may not be changed without shareholder approval, the Fund offers shareholders the opportunity to redeem their Common Shares on a monthly basis
Investment Objective
The Fund seeks to provide investors with a high level of monthly income.
Limited Liquidity For Investors
The Fund does not repurchase its shares on a daily basis and no market for the Fund's Common Shares is expected to exist. To provide a measure of liquidity, the Fund will normally make monthly repurchase offers for not less than 5% of its outstanding Common Shares. If more than 5% of Common Shares are tendered for repurchase by investors, investors may not be able to completely liquidate their holdings in any one month. Shareholders also will not have liquidity between these monthly repurchase dates.
Performance
Average Annual Total Returns %
As of August 31, 2021
As of June 30, 2021
| Most Recent Month End | YTD | 1 YR | 3 YR | 5 YR | 10 YR | Expense Ratios | |
|---|---|---|---|---|---|---|---|
| Gross | Net | ||||||
| Net Asset Value | +4.61 | +9.12 | +0.22 | +2.12 | +4.46 | 2.18% | 2.01% |
| With Sales Charge | +2.04 | +6.35 | -0.62 | +1.61 | +4.20 | ||
| Net Asset Value | +4.10 | +13.05 | +0.48 | +2.51 | +3.73 | 2.18% | 2.01% |
| With Sales Charge | +1.53 | +10.19 | -0.36 | +1.99 | +3.47 | ||
| S&P/LSTA Leveraged Loan Index | +3.76 | +8.39 | +4.16 | +4.63 | +4.89 | — | — |
| S&P/LSTA Leveraged Loan Index | +3.28 | +11.65 | +4.39 | +4.99 | +4.39 | — | — |
Inception Date - Class A:April 2, 2001
Current Maximum Sales Charge: 2.50%
The performance quoted represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance information shown. The investment return and principal value of an investment in the Portfolio will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. See above "Average Annual Total Returns %" for performance information current to the most recent month-end.
Returns for the other share classes will vary due to different charges and expenses. Performance assumes reinvestment of distributions and does not account for taxes.
Total investment return at net asset value has been calculated assuming a purchase at net asset value at the beginning of the period and a sale at net asset value at the end of the period; and assumes reinvestment of dividends, capital gain distributions and return of capital distributions/allocations, if any, in accordance with the provisions of the dividend reinvestment plan. Net asset value equals total Fund assets net of Fund expenses such as operating costs and management fees. Total investment return at net asset value is not annualized for periods less than one year.
The Adviser has contractually agreed to limit expenses of the Fund. This expense limitation agreement excludes interest, taxes, investment-related costs, leverage expenses, and extraordinary expenses and may be subject to possible recoupment. Please see the Fund's prospectus for more information. The expense limits will continue through at least 2022-07-01. If the Fund were not to borrow, or the interest expense on the borrowings is excluded from the expenses of the Fund, the net annual expenses for Class A, Class C, Class I, and Class W shares would be 1.25%, 1.75%, 1.00%, and 1.00%, respectively.
The S&P/LSTA Leveraged Loan Index is an unmanaged total return index that captures accrued interest, repayments, and market value changes. The Index does not reflect fees, brokerage commissions, taxes or other expenses of investing. Investors cannot invest directly in an index.
Yields
As of August 31, 2021
| SEC 30-Day Yield (Unsubsidized) SEC 30-Day Yield (Unsubsidized): A standardized yield calculation created by the SEC, it reflects the income earned during a 30-day period, after the deduction of the fund's gross expenses. Negative 30-Day SEC Yield results when accrued expenses of the past 30 days exceed the income collected during the past 30 days. | 3.86 |
| SEC 30-Day Yield (Subsidized) SEC 30-Day Yield (Subsidized): A standardized yield calculation created by the SEC, it reflects the income earned during a 30-day period, after the deduction of the fund's net expenses (net of any expense waivers or reimbursements). | 4.00 |
Returns-Based Characteristics
As of August 31, 2021
| 3 Year | 5 Year | 10 Year | |
|---|---|---|---|
| Standard Deviation Standard Deviation: A measure of the degree to which an individual probability value varies from the distribution mean. The higher the number, the greater the risk. | 13.02 | 10.10 | 7.60 |
| Beta Beta: The sensitivity of a portfolio's returns to changes in the return of the market as measured by the index or benchmark that represents the market. A portfolio with a beta of 1.0 behaves exactly like the index. A beta less than 1.0 suggests lower risk than the index, while a beta greater than 1.0 indicates a risk level higher than the index. | 1.46 | 1.46 | 1.44 |
| R2 R2: The proportion of the variation in a portfolio's returns that can be explained by the variability of the returns of an index. High R-squared (close to 1.0) is usually consistent with broad diversification. | 0.99 | 0.98 | 0.97 |
| Alpha Alpha: A measure of risk-adjusted performance; alpha reflects the difference between a portfolio's actual return and the return that could be expected give its risk as measured by beta. | -4.94 | -3.87 | -2.16 |
| Sharpe Ratio Sharpe Ratio: A risk-adjusted measure calculated using standard deviation and excess return to determine reward per unit of risk. The higher the Sharpe ratio, the better the portfolio's historical risk-adjusted performance. | -0.01 | 0.15 | 0.54 |
| Information Ratio Information Ratio: The ratio of portfolio returns in excess of a market index to the variability of those excess returns; in effect, information ratio describes the value added by active management in relation to the risk taken to achieve those returns. | -0.90 | -0.73 | -0.17 |
Growth of a $10,000 Investment
For the period 09/30/2011 through 08/31/2021
Ending Value: $15,469.00
The performance quoted in the "Growth of a $10,000 Investment" chart represents past performance. Performance shown is without sales charges; had sales charges been deducted, performance would have been less. Ending value includes reinvestment of distributions.
Portfolio
Portfolio Statistics
As of August 31, 2021
| Net Assets millions Net Assets: The per-share dollar amount of the fund, calculated by dividing the total value of all the securities in its portfolio, less any liabilities, by the number of fund shares outstanding. | $169.8 |
| Number of Holdings Number of Holdings: Number of Holdings in the investment. | 462 |
| Borrowings | $67,000,000.00 |
| Number of Issuers | 383 |
| Industries Represented | 38 |
| Total Assets Under Management | $236,800,700.9 |
| Borrowings as % Of AUM | 28.29% |
| Avg. Investment as % of AUM | 0.26% |
| Total |
Weighted Averages
As of August 31, 2021
| Weighted Avg. Rating Factor Weighted Avg. Rating Factor: Weighted Average Rating Factor is a measure that is used by credit rating companies to determine the credit quality of a portfolio. This measure allows rating companies to look at a portfolio as a single security, and assign it a single rating. | 2,645 |
| Weighted Average Spread Weighted Average Spread: Weighted Average Spread is the average contractual spread of each senior loan, above its base rate. | 3.74% |
| Weighted Average Days To Reset Weighted Average Days To Reset: Weighted Average Reset measures the average number of days that the current interest rate contracts are in effect. | 38.00 |
| Weighted Avg. Coupon Weighted Avg. Coupon: Weighted Average Coupon is the weighted-average gross interest rates of the pool of senior loans at the time of calculation. | 4.21% |
| Weighted Average Maturity years Weighted Average Maturity: The length of time until the average security in a fund will mature or be redeemed by its issuer. It indicates a fund's sensitivity to interest rate changes: longer average weighted maturity implies greater volatility in response to interest rate changes. | 4.97 |
| Weighted Average Market Price Weighted Average Market Price: Weighted Average Market Price is calculated as the market price of each loan divided by the par amount outstanding. | 98.36 |
| Total |
Portfolio Composition
as of August 31, 2021
| - Unsecured | 0.14 |
| Senior Loans | 100.00 |
| - First Lien | 97.42 |
| - Second Lien | 2.58 |
| - Secured | 99.86 |
| Total | #,###.2 |
Top Issuers
as of August 31, 2021
| Asurion, LLC | 1.20 |
| Internet Brands, Inc. | 0.96 |
| Global Tel*Link Corporation | 0.96 |
| Quest Software US Holdings Inc. | 0.91 |
| American Airlines, Inc. | 0.91 |
| USI, Inc. | 0.77 |
| Gates Global LLC | 0.75 |
| Maxar Technologies Ltd. (f/k/a MacDonald, Dettwiler and Associates Ltd. a/k/a MDA) | 0.75 |
| Misys (Finastra) | 0.72 |
| HD Supply Waterworks, Ltd. | 0.71 |
| Total | #,###.2 |
Credit Quality
% of Total Investments as of August 31, 2021
| Treasuries/Cash | 0.00 |
| ≥BBB | 0.69 |
| BB | 12.78 |
| B | 78.17 |
| CCC | 5.91 |
| <CCC | 0.69 |
| Not Rated | 1.77 |
| Total | #,###.2 |
The Standard & Poor's rating scale is as follows, from excellent (high grade) to poor (including default): AAA to D, with intermediate ratings offered at each level between AA and CCC. Anything lower than a BBB- rating is considered a non-investment grade or junk bond. Any security that is not rated by Standard & Poor's is placed in the NR (Not Rated) category.
Sector Weightings
% of Total Investments as of August 31, 2021
| Electronics/Electrical | 16.96 |
| Business Equipment & Services | 12.57 |
| Health Care | 9.66 |
| All Telecom | 6.27 |
| Diversified Insurance | 5.44 |
| Building & Development | 4.10 |
| Automotive | 3.70 |
| Leisure Goods/Activities/Movies | 3.52 |
| Financial Intermediaries | 3.27 |
| Aerospace & Defense | 3.24 |
| Total | #,###.2 |
Top Country Weightings
% of Total Investments as of August 31, 2021
| United States | 89.26 |
| Luxembourg | 2.19 |
| Netherlands | 2.18 |
| Canada | 1.85 |
| United Kingdom | 1.24 |
| Germany | 0.72 |
| Cayman Islands | 0.60 |
| Sweden | 0.57 |
| Isle of Man | 0.50 |
| France | 0.34 |
| Total | #,###.2 |
Information provided is not a recommendation to buy or sell any security. Portfolio data is subject to daily change.
Ratings
Distributions
Payment Frequency: Monthly
| Ex-Date
Ex-Date: Date on which a stock begins trading without the benefit of the dividend. Typically, a stock’s price moves up by the dollar amount of the dividend as the ex-dividend date approaches, then falls by the amount of the dividend after that date. | Payable Date
Payable Date: Date on which a declared stock dividend or a bond interest payment is scheduled to be paid. | Record Date
Record Date: Date on which a shareholder must officially own shares in order to be entitled to a dividend. After the date of record, the stock is said to be ex-dividend. | Amount | |
|---|---|---|---|---|
| Income Dividend | 08/31/2021 | $0.037600 | ||
| Income Dividend | 07/31/2021 | $0.036400 | ||
| Income Dividend | 06/30/2021 | $0.034000 | ||
| Income Dividend | 05/31/2021 | $0.033900 | ||
| Income Dividend | 04/30/2021 | $0.032800 | ||
| Income Dividend | 03/31/2021 | $0.033000 | ||
| Income Dividend | 02/28/2021 | $0.029500 | ||
| Income Dividend | 01/31/2021 | $0.032100 | ||
| Income Dividend | 12/31/2020 | $0.031500 | ||
| Income Dividend | 11/30/2020 | $0.029900 | ||
| Income Dividend | 10/31/2020 | $0.031500 | ||
| Income Dividend | 09/30/2020 | $0.030500 | ||
| Income Dividend | 08/31/2020 | $0.030300 | ||
| Totals: $0.423000 | ||||
Income Dividend: Payout to shareholders of interest, dividends, or other income received by the Fund, net of operating expenses. By law, all such income must be distributed to shareholders, who may choose to take the money in cash or reinvest it in more shares of the Fund.
Short-Term Capital Gain: The profit realized from the sale of securities held for less than one year.
Long-Term Capital Gain: Gain on the sale of a security where the holding period was 12 months or more and the profit was subject to the long-term capital gains tax.
Investment Team
Portfolio Management Team
Voya Investments, LLC
Investment Adviser
Voya Investment Management Co. LLC
Investment Sub-Adviser
Jeffrey A Bakalar
Group Head and Chief Investment Officer, Leveraged Credit Group
Years of Experience: 35
Years with Voya: 23
Disclosures
Principal Risks
The Fund invests primarily in below investment-grade, floating rate senior loans that carry a higher than normal risk that borrowers may default in the timely payment of principal and interest on their loans, which would likely cause the value of the Fund's Common Shares to decrease. Changes in short-term market interest rates will directly affect the yield on the Fund's Common Shares. If such rates fall, the Fund's yield will also fall. If interest rate spreads on Fund's loans decline in general, the yield on the Fund's loans will fall and the value of the Fund's loans may decrease. When short-term market interest rates rise, because of the lag between changes in such short-term rates and the resetting of the floating rates on loans in the Fund's portfolio, the impact of rising rates will be delayed to the extent of such lag. Because of the limited secondary market for floating rate senior bank loans, the Fund's ability to sell its loans in a timely fashion and/or at a favorable price may be limited. An increase in the demand for loans may adversely affect the rate of interest payable on new loans acquired by the Fund, and it may also increase the price of loans purchased by the Fund in the secondary market. A decrease in the demand for loans may adversely affect the price of loans in the Fund's portfolio, which would cause the Fund's NAV to decrease. The Fund's use of leverage through borrowings can adversely affect the yield on the Fund's Common Shares. In addition, in the event of a general market decline in the value of assets such as those in which the Fund invests, the effect of that decline will be magnified in the Fund because of the additional assets purchased with the proceeds of the leverage. Due to Limited Liquidity for Investors the Fund does not repurchase its shares on a daily basis and no market for the Fund's Common Shares is expected to exist. To provide a measure of liquidity, the Fund will normally make monthly repurchase offers for not less than 5% of its outstanding Common Shares. If more than 5% of Common Shares are tendered for repurchase by investors, investors may not be able to completely liquidate their holdings in any one month. Shareholders also will not have liquidity between these monthly repurchase dates. The Fund may invest up to 20% of its assets in loans to borrowers in countries outside of the U.S. and Canada. Investment in foreign borrowers involves special risks, including potentially less rigorous accounting requirements, differing legal systems and potential political, social and economic adversity. The Fund may invest up to 15% of its assets in loans that are denominated in certain foreign currencies; however, the Fund will engage in currency exchange transactions to seek to hedge, as closely as practicable, 100% of the economic impact to the Fund arising from foreign currency fluctuations. Other risks of the Fund include but are not limited to: Borrowings; Preferred Shares; Diversification Risks; and Concentration Risks. Investors should consult the Fund's Prospectus and Statement of Additional Information for a more detailed discussion of the Fund's risks.
S&P/LSTA Leveraged Loan Index is an unmanaged total return index that captures accrued interest, repayments and market value changes.
Barclays U.S. Aggregate Bond Index is an unmanaged widely recognized index of publicly issued fixed-rate U.S. government, investment grade, mortgage-backed and corporate debt securities