---
title: "Nine Credit Funds Reported Net Shareholder Outflows for the Quarter to July 31, and a Tenth for August; Variant Alternative Income's $81.8 Million Led"
url: https://altstreet.investments/news/ten-credit-interval-funds-net-outflows-quarter-to-july-2026-nport-2026-10-30
kind: news-article
updated: 2026-10-30
description: "Nine credit interval and tender-offer funds reported net shareholder outflows of 2% or more of net assets for the quarter to July 31, 2026 on Form N-PORT (Variant Alternative Income -$81.8M, 3.5% of $2.35B), plus Voya Credit Income for August; 19 of 39 funds reporting that quarter were net negative."
publisher: AltStreet (https://altstreet.investments)
license: Public factual pages may be read, quoted and cited with attribution and a link. Bulk redistribution is not permitted.
---

# Nine Credit Funds Reported Net Shareholder Outflows for the Quarter to July 31, and a Tenth for August; Variant Alternative Income's $81.8 Million Led

Form N-PORT filings show nine credit-focused interval and tender-offer funds with a net shareholder outflow of at least 2% of net assets for the quarter ended July 31, 2026, plus Voya Credit Income Fund for its quarter to August 31. Net flow is share sales plus reinvested distributions less redemptions. Across the 39 watch-list funds reporting the July quarter, sales plus reinvestments still exceeded redemptions, and 19 of the 39 were net negative.

By Michael E., Head of Research, AltStreet Research (https://altstreet.investments/authors/michael-e). Published October 30, 2026. Entity: Variant Alternative Income Fund (CIK 1736510, https://altstreet.investments/edgar/1736510).

Nine credit-focused interval and tender-offer funds reported a net shareholder outflow of at least 2% of net assets for the quarter ended July 31, 2026, according to the Form N-PORT filings each made in September; a tenth, Voya Credit Income Fund, reported the same for its quarter ended August 31. Net flow here is the fund's share sales plus reinvested distributions less its redemptions, the three figures N-PORT reports for each month. The largest in dollars was Variant Alternative Income Fund: $35.5 million of sales and $6.4 million of reinvested distributions against $123.7 million of redemptions, a net outflow of $81.8 million or 3.5% of its $2,354 million of net assets (accession 0001193125-26-405334). The largest as a share of the fund were Polen Credit Opportunities Fund at 5.5%, AFA Asset Based Lending Fund at 5.1% and Palmer Square Opportunistic Income Fund at 5.0%. The 2% threshold is the one AltStreet's fund signals use, so this is the group with the larger outflows, not every credit fund that paid out more than it took in; the ten together had net outflows of about $183 million on $5.0 billion of net assets.

## What the filings show

Form N-PORT Part B reports, for each of the three months of a quarter, the fund's share sales, reinvested distributions and redemptions. An interval fund repurchases shares in one month of the quarter, when its Rule 23c-3 offer settles, so the quarter's net figure, not any single month, is the measure used here; the month in which the repurchase landed is shown for each fund. The net figure counts reinvested distributions as inflows because they are shares issued; it is net share issuance, not external cash alone, and for funds with large reinvestment, Variant Alternative Income's $6.4 million and KKR Asset-Based Finance's $5.2 million here, the external cash outflow was larger than the net figure shown.

The group is not uniform. Variant Alternative Income and Macquarie Focused Access carry 100% of holdings at Level 3 or at NAV as a practical expedient, KKR Asset-Based Finance 90% and AFA 99%, while Palmer Square, BlackRock Municipal Credit Alpha and Voya hold liquid credit marked at Levels 1 and 2. The outflow is not confined to one kind of credit or one size of fund.

Across the 39 funds on AltStreet's watch-list that reported the quarter to July 31, 2026, sales totaled $1.11 billion and redemptions $0.74 billion on $26.2 billion of net assets, before reinvested distributions, so the set took in more in sales than it paid in redemptions, and 19 of the 39 reported a net outflow. Nine of the ten funds here are among those 39; Voya's fiscal quarter ends a month later and is outside that count.

The ten funds, each from its own N-PORT filing:

| Fund | Quarter to | Net assets | Sales | Reinvested | Redemptions | Net flow | Of net assets | Level 3 or NAV | Largest month | Filing |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Variant Alternative Income Fund | Jul 31, 2026 | $2,354.2M | $35.5M | $6.4M | $123.7M | -$81.8M | -3.5% | 100% | June, -$110.9M | [0001193125-26-405334](https://www.sec.gov/Archives/edgar/data/1736510/000119312526405334/) |
| Macquarie Focused Access Fund | Jul 31, 2026 | $1,113.8M | $8.3M | $0.0M | $42.9M | -$34.6M | -3.1% | 100% | July, -$40.6M | [0001193125-26-404077](https://www.sec.gov/Archives/edgar/data/1742836/000119312526404077/) |
| Palmer Square Opportunistic Income Fund | Jul 31, 2026 | $437.1M | $14.2M | $1.2M | $37.1M | -$21.7M | -5.0% | 0% | May, -$30.7M | [0002071691-26-023463](https://www.sec.gov/Archives/edgar/data/1608016/000207169126023463/) |
| KKR Asset-Based Finance Fund | Jul 31, 2026 | $490.2M | $5.2M | $5.2M | $27.4M | -$17.0M | -3.5% | 90% | July, -$21.1M | [0001193125-26-406659](https://www.sec.gov/Archives/edgar/data/1787621/000119312526406659/) |
| AFA Asset Based Lending Fund | Jul 31, 2026 | $232.8M | $3.8M | $1.6M | $17.2M | -$11.8M | -5.1% | 99% | May, -$16.5M | [0001193125-26-396284](https://www.sec.gov/Archives/edgar/data/1843499/000119312526396284/) |
| BlackRock Municipal Credit Alpha Portfolio | Jul 31, 2026 | $148.4M | $0.5M | $1.1M | $6.7M | -$5.1M | -3.4% | 0% | May, -$6.3M | [0001410368-26-099865](https://www.sec.gov/Archives/edgar/data/1232860/000141036826099865/) |
| Variant Alternative Lending Fund | Jul 31, 2026 | $68.9M | $0.0M | $0.1M | $3.3M | -$3.2M | -4.7% | 91% | May, -$3.3M | [0002022674-26-000017](https://www.sec.gov/Archives/edgar/data/2022674/000202267426000017/) |
| Angel Oak Strategic Credit Fund | Jul 31, 2026 | $81.0M | $0.5M | $0.6M | $4.3M | -$3.2M | -3.9% | 1% | June, -$4.0M | [0001193125-26-405271](https://www.sec.gov/Archives/edgar/data/1716885/000119312526405271/) |
| Polen Credit Opportunities Fund | Jul 31, 2026 | $33.0M | $0.1M | $0.6M | $2.5M | -$1.8M | -5.5% | 37% | July, -$2.3M | [0000940400-26-037902](https://www.sec.gov/Archives/edgar/data/1965985/000094040026037902/) |
| Voya Credit Income Fund | Aug 31, 2026 | $85.7M | $0.7M | $0.5M | $4.2M | -$3.0M | -3.5% | 0% | June, -$1.5M | [0000940400-26-041623](https://www.sec.gov/Archives/edgar/data/1124959/000094040026041623/) |

Sales, reinvested distributions, redemptions and net flow (sales plus reinvested less redemptions) are the three months' sums from Form N-PORT Part B; net assets and the Level 3 or NAV share are from the same filing at the quarter end. Figures as reported by each fund; AltStreet's sums, rounded.


## The pattern in AltStreet's data

AltStreet reads every N-PORT, N-CEN and repurchase filing of the 452 registered funds and BDCs it tracks, and flags a fund when its quarter's net flow is an outflow of 2% of net assets or more. For the latest quarter the flagged list is entirely credit: asset-based lending, direct lending, opportunistic credit and municipal credit, with no real estate or equity fund among the ten. The research piece [Private Credit Funds Are Rationing Exits](/research/private-credit-tender-offers-prorated) sets out the companion series on the BDC side, where tender offers were prorated at nine of seventeen funds in the June quarter.

One of the ten has applied to leave the Act: Polen Credit Opportunities Fund's board approved deregistration on September 17, 2026, citing a fund that had not reached the desired level of assets, and its final scheduled repurchase offer, for up to 40% of shares, closed October 30 ([AltStreet's report](/news/polen-credit-opportunities-fund-deregisters-40-percent-final-repurchase-offer-2026-10-30)).


## Why it matters

A net outflow of 3% to 5.5% of a fund in a quarter is within what an interval fund is built to handle: the standard offer is 5% of shares, and a fund that pays out at that rate is doing what its prospectus says. What the filings show is direction and breadth: ten credit funds across $5 billion of net assets experienced net shareholder outflows in the same quarter, while the wider registered-fund set still took in more in sales than it paid in redemptions. For holders, the figure to carry forward is the next offer: whether it is prorated depends on how much is requested, the size the board sets and any expansion, not on the quarter just reported, and the N-23C3A notices and N-CSR offer notes that AltStreet tracks will show the outcome when it comes.


## What the filings do not show

N-PORT reports what was sold and repurchased, not what was requested: a fund whose offer was fully subscribed and one whose offer was oversubscribed and prorated report the same repurchase figure. None of the ten filings gives a reason for the flows, and this article does not infer one. The 39-fund total covers registered funds with a July 31 quarter end that had filed by October 30; funds on other fiscal calendars, including Voya, and the non-traded BDCs, which do not file N-PORT, are outside it. Net assets are the funds' own figures at the quarter end.


## Key facts

- Variant Alternative Income Fund: sales $35.5M plus reinvested distributions $6.4M less redemptions $123.7M = net -$81.8M, 3.5% of $2,354.2M net assets, quarter to July 31, 2026, per N-PORT accession 0001193125-26-405334
- Highest as a share of net assets: Polen Credit Opportunities 5.5% (-$1.8M of $33.0M), AFA Asset Based Lending 5.1% (-$11.8M of $232.8M), Palmer Square Opportunistic Income 5.0% (-$21.7M of $437.1M)
- Also net negative for the quarter to July 31: Macquarie Focused Access -$34.6M (3.1%), KKR Asset-Based Finance -$17.0M (3.5%), BlackRock Municipal Credit Alpha -$5.1M (3.4%), Variant Alternative Lending -$3.2M (4.7%), Angel Oak Strategic Credit -$3.2M (3.9%); Voya Credit Income -$3.0M (3.5%) for the quarter to August 31
- Selection: net outflow of 2% of net assets or more, AltStreet's signal threshold; net flow = share sales + reinvested distributions - redemptions, from N-PORT Part B
- Across the 39 watch-list funds reporting the quarter to July 31, 2026: sales $1.11B, redemptions $0.74B, net assets $26.2B; 19 of 39 net negative; nine of the ten funds here are among the 39


## Sources

- Variant Alternative Income Fund, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 28, 2026: https://www.sec.gov/Archives/edgar/data/1736510/000119312526405334/
- Macquarie Focused Access Fund, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 28, 2026: https://www.sec.gov/Archives/edgar/data/1742836/000119312526404077/
- Palmer Square Opportunistic Income Fund, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 25, 2026: https://www.sec.gov/Archives/edgar/data/1608016/000207169126023463/
- KKR Asset-Based Finance Fund, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 29, 2026: https://www.sec.gov/Archives/edgar/data/1787621/000119312526406659/
- AFA Asset Based Lending Fund, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 21, 2026: https://www.sec.gov/Archives/edgar/data/1843499/000119312526396284/
- BlackRock Municipal Credit Alpha Portfolio, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 25, 2026: https://www.sec.gov/Archives/edgar/data/1232860/000141036826099865/
- Variant Alternative Lending Fund, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 28, 2026: https://www.sec.gov/Archives/edgar/data/2022674/000202267426000017/
- Angel Oak Strategic Credit Fund, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 28, 2026: https://www.sec.gov/Archives/edgar/data/1716885/000119312526405271/
- Voya Credit Income Fund, Form NPORT-P for the quarter ended August 31, 2026, filed Oct 27, 2026: https://www.sec.gov/Archives/edgar/data/1124959/000094040026041623/
- Polen Credit Opportunities Fund, Form NPORT-P for the quarter ended July 31, 2026, filed Sep 22, 2026: https://www.sec.gov/Archives/edgar/data/1965985/000094040026037902/
- AltStreet research: Private Credit Funds Are Rationing Exits: https://altstreet.investments/research/private-credit-tender-offers-prorated


## SEC accession numbers

- 0001193125-26-405334
- 0001193125-26-404077
- 0002071691-26-023463
- 0001193125-26-406659
- 0001193125-26-396284
- 0001410368-26-099865
- 0002022674-26-000017
- 0001193125-26-405271
- 0000940400-26-041623
- 0000940400-26-037902

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Source page: https://altstreet.investments/news/ten-credit-interval-funds-net-outflows-quarter-to-july-2026-nport-2026-10-30
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AltStreet reads what platforms, funds and issuers file with the SEC and what they tell investors, and publishes the difference. Figures are as filed or as captured on the date stated; nothing here is investment advice.