v3.26.3
FAIR VALUE OF FINANCIAL INSTRUMENTS
 9 Months Ended
Sep. 30, 2026
Fair Value Disclosures [Abstract]  
FAIR VALUE OF FINANCIAL INSTRUMENTS
8. FAIR VALUE OF FINANCIAL INSTRUMENTS

The Fund follows ASC 825-10, Recognition and Measurement of Financial Assets and Financial Liabilities (“ASC 825-10”), which provides companies the option to report selected financial assets and liabilities at fair value. ASC 825-10 also establishes presentation and disclosure requirements designed to facilitate comparisons between companies that choose different measurement attributes for similar types of assets and liabilities and to more easily understand the effect of the company’s choice to use fair value on its earnings. ASC 825-10 also requires companies to display the fair value of the selected assets and liabilities on the face of the balance sheet. The Fund has not elected the ASC 825-10 option to report selected financial assets and liabilities at fair value. With the exception of the line items entitled “other assets,” “secured borrowing” and “debt,” which are reported at amortized cost, the carrying value of all other assets and liabilities approximate fair value.
 
The Fund also follows ASC 820-10, Fair Value Measurements and Disclosures (“ASC 820-10”), which among other matters, requires enhanced disclosures about investments that are measured and reported at fair value. ASC 820-10 defines fair
value, establishes a framework for measuring fair value in accordance with GAAP and expands disclosure of fair value measurements. ASC 820-10 determines fair value to be the price that would be received for an investment in a current sale, which assumes an orderly transaction between market participants on the measurement date. ASC 820-10 requires the Fund to assume that the portfolio investment is sold in its principal market to market participants or, in the absence of a principal market, the most advantageous market, which may be a hypothetical market. Market participants are defined as buyers and sellers in the principal or most advantageous market that are independent, knowledgeable, and willing and able to transact. In accordance with ASC 820-10, the Fund has considered its principal market as the market in which the Fund exits its portfolio investments with the greatest volume and level of activity. ASC 820-10 specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. In accordance with ASC 820-10, these inputs are summarized in the three broad levels listed below:

•Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access.

•Level 2—Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.

•Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement.
 
In addition to using the above inputs in investment valuations, the Valuation Designee continues to employ its net asset valuation policy and procedures that have been reviewed by the Fund’s board of trustees in connection with their designation of the Fund’s investment adviser as the valuation designee that are consistent with the provisions of Rule 2a-5 under the Investment Company Act and ASC 820-10 (see Note 2 for more information on the Fund’s valuation process). Consistent with its valuation policy and procedures, the Valuation Designee will evaluate the source of inputs, including any markets in which the Fund’s investments are trading (or any markets in which securities with similar attributes are trading), in determining fair value. Where there may not be a readily available market value for some of the investments in the Fund’s portfolio, the fair value of a portion of the Fund’s investments may be determined using unobservable inputs.
 
The Fund’s portfolio investments classified as Level 3 are typically valued using two different valuation techniques. The first valuation technique is an analysis of the enterprise value (“EV”) of the portfolio company. EV means the entire value of the portfolio company to a market participant, including the sum of the values of debt and equity securities used to capitalize the enterprise at a point in time. The primary method for determining EV uses a multiple analysis whereby appropriate multiples are applied to the portfolio company’s EBITDA. EBITDA multiples are typically determined based upon review of market comparable transactions and publicly traded comparable companies, if any. The Valuation Designee may also employ other valuation multiples to determine EV, such as revenues or, in the case of certain portfolio companies in the power generation industry, kilowatt capacity. The second method for determining EV uses a discounted cash flow analysis whereby future expected cash flows of the portfolio company are discounted to determine a present value using estimated discount rates (typically a weighted average cost of capital based on costs of debt and equity consistent with current market conditions). The EV analysis is performed to determine the value of equity investments, the value of debt investments in portfolio companies where the Fund has control or could gain control through an option or warrant security, and to determine if there is credit impairment for debt investments. If debt investments are credit impaired, an EV analysis may be used to value such debt investments; however, in addition to the methods outlined above, other methods such as a liquidation or wind-down analysis may be utilized to estimate EV. The second valuation technique is a yield analysis, which is typically performed for non-credit impaired debt investments in portfolio companies where the Fund does not own a controlling equity position. To determine fair value using a yield analysis, a current price is imputed for the investment based upon an assessment of the expected market yield for a similarly structured investment with a similar level of risk. In the yield analysis, the Valuation Designee considers the current contractual interest rate, the maturity and other terms of the investment relative to risk of the company and the specific investment. A key determinant of risk, among other things, is the leverage through the investment relative to the EV of the portfolio company. As debt investments held by the Fund are substantially illiquid with no active transaction market, the Valuation Designee depends on primary market data, including newly funded transactions, as well as secondary market data with respect to high yield debt instruments and syndicated loans, as inputs in determining the appropriate market yield, as applicable.
The following table presents fair value measurements of investments, unfunded revolving and delayed draw loan commitments and derivatives as of September 30, 2026:

Fair Value Measurements Using
Level 1Level 2Level 3Total
First lien senior secured loans$— $4,033,886 $12,229,754 $16,263,640 
Second lien senior secured loans— 190,643 158,538 349,181 
Senior subordinated loans— 1,929 1,313,879 1,315,808 
Corporate bonds— — 62,294 62,294 
Collateralized loan obligations— — 714,587 714,587 
Commercial mortgage-backed securities— — 109,642 109,642 
Private asset-backed investments— — 327,901 327,901 
Investments in joint ventures— — 1,003,200 1,003,200 
Preferred equity— 9,892 456,885 466,777 
Other equity— 1,957 635,526 637,483 
Investments not measured at net asset value $— $4,238,307 $17,012,206 $21,250,513 
Investments measured at net asset value(1)105,263 
Total investments $21,355,776 
Unfunded revolving and delayed draw loan commitments(2)$— $— $(35,634)$(35,634)
Derivatives:
  Foreign currency forward contracts$— $8,273 $— $8,273 
  Interest rate swaps$— $(193,333)$— $(193,333)
________________________________________

(1)Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated statements of assets and liabilities.

(2)The fair value of unfunded revolving and delayed draw loan commitments is included in “accounts payable and other liabilities” in the accompanying consolidated statements of assets and liabilities.
The following table presents fair value measurements of investments, unfunded revolving and delayed draw loan commitments and derivatives as of December 31, 2025:

Fair Value Measurements Using
Level 1Level 2Level 3Total
First lien senior secured loans$— $6,617,396 $10,542,870 $17,160,266 
Second lien senior secured loans— 287,211 141,949 429,160 
Senior subordinated loans— 5,086 1,063,756 1,068,842 
Corporate bonds— — 99,063 99,063 
Collateralized loan obligations— — 1,051,264 1,051,264 
Commercial mortgage-backed securities— — 99,962 99,962 
Private asset-backed investments— — 300,947 300,947 
Investments in joint ventures— — 391,000 391,000 
Preferred equity— — 317,476 317,476 
Other equity— — 489,521 489,521 
Investments not measured at net asset value$— $6,909,693 $14,497,808 $21,407,501 
Investments measured at net asset value(1)101,097 
Total investments$21,508,598 
Unfunded revolving and delayed draw loan commitments(2)$— $— $(10,885)$(10,885)
Derivatives:
Foreign currency forward contracts$— $(22,867)$— $(22,867)
Interest rate swaps$— $58,008 $— $58,008 
________________________________________

(1)Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated statements of assets and liabilities.

(2)The fair value of unfunded revolving and delayed draw loan commitments is included in “accounts payable and other liabilities” in the accompanying consolidated statements of assets and liabilities.
 
The following tables summarize the significant unobservable inputs the Valuation Designee used to value the majority of the Fund’s investments categorized within Level 3 as of September 30, 2026 and December 31, 2025. The tables are not intended to be all-inclusive, but instead to capture the significant unobservable inputs relevant to the determination of fair values.

As of September 30, 2026
Unobservable Input
Asset CategoryFair ValuePrimary Valuation TechniquesInputEstimated RangeWeighted Average(1)
First lien senior secured loans$12,014,290 Yield analysis Market yield
6.0% - 19.5%
9.7%
215,464 Broker quotesN/AN/AN/A
Second lien senior secured loans158,538 Yield analysis Market yield
9.1% - 29.3%
18.3%
Senior subordinated loans1,313,879 Yield analysis Market yield
7.6% - 16.1%
10.6%
Corporate bonds62,294 Broker quotesN/AN/AN/A
Collateralized loan obligations714,587 Broker quotesN/AN/AN/A
Commercial mortgage-backed securities59,937 Broker quotesN/AN/AN/A
49,705 Discounted cash flowDiscount rate
7.2% - 15.2%
12.8%
Private asset-backed investments299,037 Yield analysisMarket yield
7.0% - 15.0%
11.1%
21,337 Discounted cash flowDiscount rate
4.8% - 16.7%
14.0%
7,527 Income (other)Constant default rate
2.0% - 7.0%
3.4%
Investments in joint ventures1,003,200 Net asset value analysisNet asset valueN/AN/A
Preferred equity379,998 Yield analysis Market yield
8.0% - 15.0%
12.6%
76,887 EV market multiple analysisEBITDA multiple
5.8x - 24.0x
10.1x
Other equity635,526 EV market multiple analysisEBITDA multiple
3.8x - 30.1x
15.0x
Total investments$17,012,206 
____________________________________

(1)Unobservable inputs were weighted by the relative fair value of the investments.
As of December 31, 2025
Unobservable Input
Asset CategoryFair ValuePrimary Valuation TechniquesInputEstimated RangeWeighted Average(1)
First lien senior secured loans$10,364,836 Yield analysisMarket yield
5.5% - 19.1%
9.1%
167,884 Broker quotesN/AN/AN/A
10,150 Transaction costN/AN/AN/A
Second lien senior secured loans141,949 Yield analysisMarket yield
8.2% - 19.6%
12.9%
Senior subordinated loans1,032,512 Yield analysisMarket yield
7.0% - 24.7%
10.6%
31,244 Transaction costN/AN/AN/A
Corporate bonds99,063 Broker quotesN/AN/AN/A
Collateralized loan obligations1,047,274 Broker quotesN/AN/AN/A
3,990 Transaction costN/AN/AN/A
Commercial mortgage-backed securities99,962 Broker quotesN/AN/AN/A
Private asset-backed investments202,865 Yield analysisMarket yield
4.0% - 13.8%
8.7%
50,750 Broker quotesN/AN/AN/A
41,570 Transaction costN/AN/AN/A
5,762 Income (other)Constant default
rate
0.0% - 7.0%
1.7%
Investments in joint ventures391,000 Yield analysisMarket yield10.0%10.0%
Preferred equity165,475 EV market
multiple analysis		EBITDA multiple
7.1x - 22.5x
12.4x
152,001 Yield analysisMarket yield
9.8% - 15.0%
12.9%
Other equity489,521 EV market
multiple analysis		EBITDA multiple
7.2x - 33.0x
15.1x
Total investments$14,497,808 
____________________________________

(1)Unobservable inputs were weighted by the relative fair value of the investments.

Changes in market yields, discount rates or EBITDA multiples, each in isolation, may change the fair value of certain of the Fund’s investments. Generally, an increase in market yields or discount rates or decrease in EBITDA multiples may result in a decrease in the fair value of certain of the Fund’s investments.
 
Due to the inherent uncertainty of determining the fair value of investments that do not have a readily available market value, the fair value of the Fund’s investments may fluctuate from period to period. Additionally, the fair value of the Fund’s investments may differ significantly from the values that would have been used had a ready market existed for such investments and may differ materially from the values that the Fund may ultimately realize. Further, such investments are generally subject to legal and other restrictions on resale or otherwise are less liquid than publicly traded securities. If the Fund was required to liquidate a portfolio investment in a forced or liquidation sale, it could realize significantly less than the value at which the Fund has recorded it.

In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses ultimately realized on these investments to be different than the unrealized gains or losses reflected in the valuations currently assigned.
 
The following tables present changes in investments that use Level 3 inputs as of and for the three and nine months ended September 30, 2026:

As of and For the Three Months Ended September 30, 2026
Balance as of June 30, 2026$17,045,709 
Net realized gains9,923 
Net unrealized losses(28,346)
Purchases982,360 
Sales(432,146)
Repayments(633,895)
PIK interest and dividends35,466 
Net accretion of discount on investments9,771 
Transfers into Level 3142,080 
Transfers out of Level 3(118,716)
Balance as of September 30, 2026$17,012,206 

As of and For the Nine Months Ended September 30, 2026
Balance as of December 31, 2025$14,497,808 
Net realized gains21,819 
Net unrealized losses(175,727)
Purchases4,891,325 
Sales(1,120,052)
Repayments(1,305,866)
PIK interest and dividends102,679 
Net accretion of discount on investments29,443 
Transfers into Level 3378,558 
Transfers out of Level 3(307,781)
Balance as of September 30, 2026$17,012,206 

Investments that were transferred into and out of Level 3 during the three and nine months ended September 30, 2026 were generally as a result of changes in the observability of significant inputs or available market data for certain portfolio companies.

As of September 30, 2026, the net unrealized depreciation on the investments that use Level 3 inputs was $69,283.

For the three and nine months ended September 30, 2026, the total amount of gains (losses) included in earnings attributable to the change in unrealized gains (losses) relating to the Fund’s Level 3 assets still held as of September 30, 2026, and reported within the net unrealized gains (losses) on investments, foreign currency and other transactions in the Fund’s consolidated statements of operations, was $(20,199) and $(193,592), respectively.
The following tables present changes in investments that use Level 3 inputs as of and for the three and nine months ended September 30, 2025:

As of and For the Three Months Ended September 30, 2025
Balance as of June 30, 2025$9,302,895 
Net realized gains14,298 
Net unrealized gains17,865 
Purchases3,024,312 
Sales(78,686)
Repayments(296,134)
PIK interest and dividends21,329 
Net accretion of discount on investments6,983 
Transfers into Level 392,870 
Transfers out of Level 3(195,953)
Balance as of September 30, 2025$11,909,779 

As of and For the Nine Months Ended September 30, 2025
Balance as of December 31, 2024$5,935,498 
Net realized losses13,469 
Net unrealized gains145,148 
Purchases6,740,606 
Sales(168,434)
Repayments(576,028)
PIK interest and dividends53,153 
Net accretion of discount on investments17,329 
Transfers into Level 3292,648 
Transfers out of Level 3(543,610)
Balance as of September 30, 2025$11,909,779 

Investments that were transferred into and out of Level 3 during the three and nine months ended September 30, 2025 were generally as a result of changes in the observability of significant inputs or available market data for certain portfolio companies.

As of September 30, 2025, the net unrealized appreciation on the investments that use Level 3 inputs was $202,844.

For the three and nine months ended September 30, 2025, the total amount of gains (losses) included in earnings attributable to the change in unrealized gains (losses) relating to the Fund’s Level 3 assets still held as of September 30, 2025, and reported within the net unrealized gains (losses) on investments, foreign currency and other transactions in the Fund’s consolidated statements of operations, was $15,210 and $142,437, respectively.
The following are the carrying and fair values of the Fund’s debt obligations as of September 30, 2026 and December 31, 2025.

As of
September 30, 2026December 31, 2025
Carrying Value(1)Fair Value(6)Carrying Value(1)Fair Value(6)
Revolving Credit Facility$2,101,059 $2,101,059 $2,525,642 $2,525,642 
SG Funding Facility 1,470,811 1,470,811 612,811 612,811 
SB Funding Facility650,000 650,000 400,000 400,000 
BNP Funding Facility568,000 568,000 900,000 900,000 
January 2037 CLO Secured Notes (principal amount outstanding of $476,000)(2)
473,501 (3)473,501 473,310 (3)473,310 
April 2038 CLO Secured Debt (principal amount outstanding of $350,000)(2)
348,312 (3)348,312 348,196 (3)348,196 
January 2039 CLO Secured Debt (principal amount outstanding of $532,000)(2)
530,259 (3)530,259 529,820 (3)529,820 
March 2028 Notes (principal amount outstanding of $1,000,000)
984,196 (3)(4)993,690 1,004,008 (3)(4)1,013,110 
September 2028 Notes (principal amount outstanding of $600,000)
582,416 (3)(4)592,182 597,103 (3)(4)604,992 
January 2029 Notes (principal amount outstanding of $600,000)
573,479 (3)(4)581,742 589,036 (3)(4)593,616 
August 2029 Notes (principal amount outstanding of $700,000)
677,992 (3)(4)696,129 705,261 (3)(4)717,759 
February 2030 Notes (principal amount outstanding of $750,000)
702,715 (3)(4)722,430 731,239 (3)(4)757,665 
September 2030 Notes (principal amount outstanding of $500,000)
472,698 (3)(4)479,845 496,117 (3)(4)505,680 
January 2031 Notes (principal amount outstanding of $500,000)
459,545 (3)(4)465,125 483,459 (3)(4)491,060 
April 2031 Notes (principal amount outstanding of $700,000 and $0, respectively)
654,482 (3)(4)658,028 — — 
March 2032 Notes (principal amount outstanding of $750,000)
717,245 (3)(4)717,000 764,594 (3)(4)770,467 
Total$11,966,710 (5)$12,048,113 $11,160,596 (5)$11,244,128 
____________________________________

(1)The Revolving Credit Facility, the SG Funding Facility, the SB Funding Facility and the BNP Funding Facility carrying values are the same as the principal amounts outstanding.

(2)Excludes the subordinated notes issued by certain of the Fund’s wholly owned, consolidated subsidiaries in connection with the Debt Securitizations, all of which were retained by the Fund and, as such, eliminated in consolidation. See Note 5 for more information on the Debt Securitizations.

(3)Represents the aggregate principal amount outstanding, less unamortized debt issuance costs and the unaccreted discount recorded upon issuance.

(4)The carrying value of the March 2028 Notes, the September 2028 Notes, the January 2029 Notes, the August 2029 Notes, the February 2030 Notes, the September 2030 Notes, the January 2031 Notes, the April 2031 Notes and the March 2032 Notes as of September 30, 2026 and December 31, 2025 includes adjustments as a result of effective hedge accounting relationships, as applicable. See Notes 5 and 6 for more information on the Unsecured Notes and the interest rate swaps.

(5)Total principal amount of outstanding debt totaled $12,251,407 and $11,194,548 as of September 30, 2026 and December 31, 2025, respectively.

(6)The fair value of the debt obligations would be categorized as Level 2 under ASC 820-10.