KKR-Income Trust I (“KIT”)

A global, multi-strategy Private Credit fund for income-focused investors

Introducing KIT

KIT is a globally diversified open-ended private credit strategy that seeks to deliver compelling risk-adjusted returns with a focus on current income generation.

Reasons to Consider KIT

1

Direct Lending & Asset-Based Finance

Access to global direct lending and asset-based finance in a single allocation

2

Targets 9-10% Net Annual Distribution

Target 9-10% net annual distribution from a diversified portfolio with strong focus on downside protection1

3

Immediate Portfolio Exposure2

Immediate exposure to a portfolio that aims to be income-generating and focuses on large and growing addressable end markets3

1. Target returns are hypothetical in nature and are shown for illustrative, informational purposes only. Please refer to “Important Information - Target Returns Methodology” at the bottom of this page for a description of the Target Return Methodology. Downside protection is no guarantee against future losses. An investment in KIT involves subscribing to shares of a collective investment and not of a given underlying asset.

2. An investment in KIT involves a high degree of risk that can result in substantial losses.

3. Private credit assets under management are projected to grow from $1.6 trillion at year end 2023 to $2.8 trillion by year end 2028. Source: Preqin, Future of Alternatives.  Asset-based finance market projected to grow from $5.2 trillion at year end 2022 to $7.7 trillion by year end 2027. Source: Integer Advisors and KKR Credit research estimates based on latest available data as of September 30, 2022, sourced from country-specific official / trade bodies as well as company reports. Represents the private financial assets originated and held by non-banks based globally, related to household (including mortgages) and business credit. Excludes loans securitized or sold to government agencies and assets acquired in the capital markets or through other secondary/ syndicated channels.

There are several risks associated with investment in KIT. Please refer to “Important Information – Risk Disclosures” at the bottom of the page for further information.

Unless indicated, the above reflects the current market views, opinions and expectations of KKR based on its historical experience. Investments in credit strategies are subject to several risks, and there is no guarantee that any fund’s investment program will be successful or that an investor will realize a return of invested capital. An investment in KIT involves a high degree of risk that can result in substantial losses. There can be no assurance that KIT will achieve its targets or that investors will receive a return of any capital. Diversification does not guarantee returns or capital preservation.

We Believe we have a Robust Private Credit Solution in a Single Strategy

KIT Portfolio Building Blocks

Direct Lending

  • Privately originated senior secured corporate debt
  • KKR targets upper mid-market borrowers that KKR believes are more resilient to economic downturns
  • Focus on floating-rate assets which seek to provide inflation and interest rate hedges
  • Control of transaction structure and terms

Asset-Based Finance

  • Proprietary, private investments backed by large diversified pools of financial and hard assets
  • Underlying assets typically produce contractual, recurring cash flows
  • Focus on underserved, hard to access, mispriced assets

There are several risks associated with investment in KIT. Please refer to “Important Information – Risk Disclosures” at the bottom of the page for further information.

Investments in private credit strategies are subject to several risks and there is no guarantee that any investment program will be successful or that an investor will realize a return of invested capital. There can be no assurance investment objectives will be achieved.

Target Portfolio

Strategy

Senior US Direct Lending: 35-45%
Senior EU/Asia Direct Lending: 20-30%
Asset-Based Finance: 25-35%
Traded Credit: 5-10%

Geography

US: 50-70%
Asia: 0-10%
Europe: 30-40%

The above information regarding the strategy is presented for discussion purposes only and should not be relied upon as it may be incomplete. It is qualified in its entirety by the Confidential Private Placement Memorandum ("PPM") of the KKR-Income Trust SCA SICAV-RAIF.  Please refer to the PPM and to the KKR-Income Trust I KID before making an investment decision. KIT is expected to implement, in particular, its US Direct Lending investments indirectly through investing in common shares issued by KKR FS Income Trust,  a non-diversified, closed-end management investment company that filed an election to be regulated as a BDC under the Investment Company Act of 1940 on March 31, 2023, and is externally managed by FS/KKR Advisor, LLC, a registered investment adviser under the Advisers Act, that is jointly operated by KKR Credit and by an Affiliate of Franklin Square Holdings, L.P.

Designed as an Efficient Way to Access Private Credit

Monthly Subscriptions

Monthly Subscriptions

No Capital Calls / Drawdowns

No Capital Calls / Drawdowns

Conservative Leverage

Conservative Leverage

Quarterly Liquidity<sup>1</sup>

Quarterly Liquidity1

1. Permitted Share redemptions are generally limited to 5% of the Net Asset Value of KIT per calendar quarter (measured using the average Net Asset Value as of the end of the three months immediately preceding the relevant Redemption Day and taking into account any applicable Early Redemption Deductions). No assurance can be given that redemptions will occur or that redemptions orders appropriately placed will be fulfilled by KIT. Due to these restrictions an investor should consider an investment in KIT to be of limited liquidity.

There are several risks associated with investment in this Fund. Please refer to “Important Information – Risk Disclosures” at the bottom of the page for further information.

Investments in Private Credit strategies are subject to several risks and there is no guarantee that any investment program will be successful or that an investor will realize a return of invested capital. There can be no assurance investment objectives will be achieved.

Learn More About Private Credit

Discover the latest insights from KKR’s Private Credit and Global Macro & Asset Allocation teams.