The Solactive Hilton Capital BDC Corporate Bond TR Index¹ (the "Index") completed its September 1, 2026, rebalance with two meaningful developments: methodology refinements focused on investability, and the addition of three new issuers: Sixth Street Specialty Lending, T. Rowe Price OHA Select Private Credit Fund, and Trinity Capital.
The refinements sharpen the Index's focus on bonds that institutional investors can actually buy and hold, while the three new issuers broaden the range of Business Development Company (BDC) lending models represented, from upper-middle-market direct lending to venture and growth-stage finance.
Index provider Solactive AG approved and implemented methodology refinements effective with this rebalance, aimed at ensuring the Index reflects bonds that are practical to own.
Eligible bonds must now be available for purchase and settlement by U.S. institutional investors. Reg-S issues are excluded, leaving 144A and Global issues as the eligible formats.
This is a practical improvement. A benchmark is only as useful as it is replicable, and restricting the universe to securities that U.S. institutions can freely transact narrows the gap between the Index on paper and the Index as implemented.
The Index will now exclude a bond when, on or before the Selection Day, a redemption notice (a call or tender offer) has been announced with an effective date falling within the next quarter.
Bonds approaching a known redemption tend to trade toward their call price and away from the credit-driven pricing the Index is designed to capture. Screening them out at selection can potentially reduce turnover and keeps the Index focused on securities with a meaningful remaining life.
The September rebalance broadened the Index to 35 issuers, adding three distinct credit platforms.
Sixth Street Specialty Lending (NYSE: TSLX) is a publicly traded, externally managed business development company providing senior secured loans (first-lien, second-lien and unitranche), unsecured loans and mezzanine debt, lending principally to middle-market companies in the United States across business services, software and technology, healthcare, energy, consumer and retail, manufacturing, industrials and specialty finance.
The Index gains exposure through several of the company's senior note issues, making it among the more fully represented new additions. Sixth Street's inclusion brings a long-tenured listed direct lending platform to the Index.
OCREDIT is a non-traded, perpetual-life BDC managed by Oak Hill Advisors, which T. Rowe Price acquired in December 2021 to accelerate its expansion into alternative markets. It launched in October 2023 with $1.5 billion of investible capital, making it one of the industry's largest non-traded BDC launches. The fund invests in a diversified portfolio of primarily senior secured, privately originated loans to larger, well-established companies located predominantly in North America.
Its inclusion follows the fund's inaugural senior note issuance and adds a perpetual-life, institutionally backed platform to the Index's issuer base.
Trinity Capital (NYSE: TRIN) is a publicly traded, internally managed BDC operating five complementary lending verticals: equipment finance, tech lending, healthcare and life sciences, sponsor finance, and asset-based lending, supplemented by joint ventures and a managed funds platform. Founded in 2008 and headquartered in Phoenix, Arizona, the company provides customized debt financing to growth-stage and venture-backed companies in technology, life sciences and other innovative sectors.
Trinity extends the Index's reach into venture and growth-stage lending, a segment with different underlying credit drivers than sponsor-backed middle-market direct lending, and one that adds a further dimension of diversification.
With these refinements and the addition of Sixth Street Specialty Lending, T. Rowe Price OHA Select Private Credit Fund and Trinity Capital, the Index now spans listed and non-traded BDCs, externally and internally managed platforms, and lending models ranging from upper-middle-market direct lending through venture finance.
These developments strengthen the Index's ability to serve as a comprehensive benchmark for income strategies tied to private credit via BDC senior notes.
¹The Solactive Hilton Capital BDC Corporate Bond Index is a rules-based index that seeks to track the total performance of bonds issued by Business Development Companies. Investing in Business Development Companies (BDCs) involves various risks, including interest rate risk, credit risk, and liquidity risk, which can significantly impact returns. Please note, an investment in the fund is not a direct investment in a BDC or in one of the issuers identified above.
As a passive fund, the Fund seeks to replicate the performance of its index. However, differences may arise due to fund expenses, trading activity, or index changes. The Fund may also hold securities not in the index or may not always be fully invested in index components. All index information is as of 9/1/26, is sourced from Bloomberg, and may change at any time.
For general informational purposes only. Not personalized investment advice or a recommendation or solicitation to buy or sell any security.
The Hilton BDC Corporate Bond Index (the “Index”) was created by Hilton Capital Management, LLC, and is owned, calculated, and administered by Solactive AG. It offers focused exposure to fixed-income securities issued by U.S.-registered Business Development Companies (BDCs), seeking to give investors exposure to higher yields within a regulated, investment-grade structure.
Complete Fund Holdings Found Here: Hilton BDC Corporate Bond ETF
The Hilton BDC Corporate Bond ETF (the “Fund”) is an exchange-traded fund (“ETF”) that uses a “passive management” (or indexing) approach to track the performance, before fees and expenses, of the Index.
Important Disclosures:
Before investing you should carefully consider the Fund’s investment objective, risk, charges and expenses. This and other information is in the prospectus. A prospectus or summary prospectus may be obtained by visiting www.hiltonetfs.com or calling 1-833-594-4586. Please read the prospectus carefully before you invest.
Investing involves Risk, including possible loss of principal. The Fund is a recently organized management investment company with no operating history. As a result, prospective investors do not have a track record or history on which to base their investment decisions. There is no guarantee that the Fund’s investment strategy will be successful.
Investors buy and sell ETF shares through a brokerage account or an investment advisor. Like ordinary stocks, brokerage commissions, and/or transaction costs or service fees may apply. Please consult your broker or financial advisor for their fee schedule.
Call or Tender Offer: A call refers to the issuer's exercise of a right, set out in the bond's original terms, to redeem some or all of the outstanding principal prior to its scheduled maturity date, typically at a specified call price (which may be par, a premium to par, or a "make-whole" price). A tender offer refers to an issuer's (or, in some cases, a third party's) invitation to bondholders to sell their bonds back prior to maturity, typically at a stated price and within a specified offer period, whether made pursuant to a change-of-control, refinancing, liability-management, or other transaction. For purposes of this Index, both are treated as a "redemption notice" once formally announced by the issuer (or its agent) via a public filing, press release, or notice to bondholders specifying an effective redemption or settlement date. Credit Risk: Debt securities held by the Fund are subject to the risk that an issuer or related party (such as a guarantor or counterparty) may fail to meet its financial obligations. These failures can negatively impact the value of the investment and the Fund’s ability to receive expected income or principal repayments. Fixed Income & Interest Rate Risk: Fixed income respond to economic developments particularly interest rate changes, as well as to changes in an issuer’s credit rating. Fixed Income investments typically decline in value when interest rates rise and increase in value when rates fall. Longer-duration and lower-rated securities are generally more sensitive to these changes. Interest rate movements, including those driven by central bank policy, may also impact the Fund’s income. Index and Tracking Error Risk: As a passive fund, the Fund seeks to replicate the performance of its index. However, differences may arise due to fund expenses, trading activity, or index changes. The Fund may also hold securities not in the index or may not always be fully invested in index components.
Distributor: Foreside Fund Services, LLC ("Foreside"). Hilton Capital Management and Foreside are not affiliated.