Private Credit Investment Grade

Approach

This strategy takes advantage of privately negotiated covenant structures, investing in fixed-rate corporate debt sold to investors and exempt from SEC registration. We believe that intensive up-front underwriting of individual securities, paired with appropriate structural and covenant protection, leads to more flexible portfolios and strong risk-adjusted performance in all market conditions.

Key Benefits

  • Deal Sourcing and Selectivity: Our robust deal flow allows us to avoid stretching to fill production demand or to achieve sector/name level diversification
  • Integrated Deal Team: Our unique integration of legal staff within the investment team facilitates partnership with deal analysts at the onset of a deal and the incorporation of our specialized Private Credit High Yield team at early points of credit distress provides significantly lower losses
  • Deal Structure First: Our disciplined investment underwriting and monitoring process does not change with market demands

Performance

Performance

As of 9/30/211 Month3 MonthYTD1yr3yr5yr10yrSince Inception (1/01/04)
Composite Gross-0.501.083.214.528.585.325.115.82
Composite Net-0.531.012.994.218.265.024.815.52
Index*-0.640.04-0.491.766.494.134.164.55
Gross Excess Return0.141.033.712.762.091.190.961.28

* Bloomberg Corporate Duration-Adjusted Index

Past performance does not guarantee future results.

Periods greater than one year are annualized. Gross returns are presented after all transaction costs, but before management fees. Returns include the reinvestment of income. Net performance is shown after the deduction of a model management fee equal to the highest fee charged. The returns presented are not subject to the input, calculation, presentation, and disclosure requirements of Global Investment Performance Standards (GIPS). Information is subject to change at any time.

Literature

Investment Team

Chris Lyons

Chris Lyons, CFA

Managing Director and Group Head, Private Credit

Years of Experience: 32

Years with Voya: 28

Chris Lyons is the managing director and group head of Voya’s private credit investment grade and infrastructure businesses. Along with his direct responsibilities in private credit, Chris is also active in overall management of Voya’s fixed income franchise. He has over 30 years of lending and investment experience with the large majority of that time spent with Voya working in and then leading the development of its private lending effort. Prior to joining Voya, he worked as a commercial and investment banker for SunTrust Banks, Inc. Chris earned a BS from the Georgia Institute of Technology. He is a CFA® Charterholder.
Virginia O'Kelley

Virginia L O'Kelley, CFA

Senior Vice President, Portfolio Manager, Private Credit

Years of Experience: 20

Years with Voya: 16

Virginia O'Kelley is the portfolio manager for the private credit team at Voya Investment Management, responsible for underwriting and managing the private investments on behalf of Voya’s third party clients. She is a direct investor in the asset class and has experience reviewing transactions across multiple sectors and geographies. Prior to joining Voya, Virginia was with Wells Fargo Corporation holding various analyst positions. Virginia earned an MBA with honors from the Goizueta Business School at Emory University and a BS with honors from the University of North Carolina - Chapel Hill. She is a CFA® Charterholder.

Disclosures

Principal Risk

All investing involves risks of fluctuating prices and the uncertainties of rates of return and yield inherent in investing. High-Yield Securities, or "junk bonds", are rated lower than investment-grade bonds because there is a greater possibility that the issuer may be unable to make interest and principal payments on those securities. The strategy may use Derivatives, such as options and futures, which can be illiquid, may disproportionately increase losses and have a potentially large impact on performance. Foreign Investing does pose special risks including currency fluctuation, economic and political risks not found in investments that are solely domestic. Risks of foreign investing are generally intensified in Emerging Markets. As Interest Rates rise, bond prices may fall, reducing the value of the share price. Debt Securities with longer durations tend to be more sensitive to interest rate changes. Other risks of the Fund include but are not limited to: Credit Risks; Other Investment Companies’ Risks; Price Volatility Risks; Inability to Sell Securities Risks; and Securities Lending Risks.