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First Eagle Investments

Schwab IMPACT 2022

The First Eagle Credit Opportunities fund is one of only three interval funds offered to RIAs on the Schwab Institutional No Transaction Fee (iNTF) platform, and the only interval fund in this program that provides access to private credit.

Tune in to learn more about the Credit Opportunities Fund, the mix of asset classes the fund invests in and why the fund may be well positioned for continued volatility and possible recession.

Please see the First Eagle Credit Opportunities Fund Fact Sheet for standardized performance and important disclosures.

AUM as of October 31, 2022.

The Credit Opportunities Fund is an Interval Fund, a type of fund that, in order to provide liquidity to shareholders, has adopted a fundamental investment policy to make quarterly offers to repurchase between 5% and 25% of its outstanding Common Shares at net asset value (“NAV”). Subject to applicable law and approval of the Board of Trustees for each quarterly repurchase offer, the Fund currently expects to offer to repurchase 5% of the Fund’s outstanding Common Shares at NAV on a quarterly basis.

Definitions:

Accredited Investor is defined within the meaning of Regulation D under the Securities Act of 1933, as amended.

Qualified Purchaser is defined within the meaning of Section 2(a)(51) of the Investment Company Act of 1940, as amended.

Private credit is an asset defined by non-bank lending where the debt is not issued or traded on the public markets. Private credit can also be referred to as “direct lending” or “private lending”. It is a subset of “alternative credit”. Private Credit has been one of the fastest-growing asset classes.

Direct lending is a form of corporate debt provision in which lenders other than banks make loans to companies without intermediaries such as an investment bank, a broker or a private equity firm.

High-yield bond is a bond that is rated below investment grade by credit rating agencies. These bonds have a higher risk of default or other adverse credit events, but offer higher yields than investment-grade bonds in order to compensate for the increased risk.

Floating interest rate, also known as a variable or adjustable rate, refers to any type of debt instrument, such as a loan, bond, mortgage, or credit, that does not have a fixed rate of interest over the life of the instrument. Floating interest rates typically change based on a reference rate.

Broadly syndicated loans are floating rate loans made to corporate borrowers that generally have greater than $50 million in EBITDA (in most cases, at least $100 million). They are senior in the capital structure and have a first claim on the assets of the borrower.

Senior security is one that ranks higher in terms of payout ranking, ahead of more junior or subordinate debt. Secured and senior debt is paid first, in the event a company runs into financial trouble. Junior debt, then preferred shareholders, and finally common shareholders are paid out last.

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