Oaktree Asset-Backed Income Fund (OABIX): Repurchases, Holdings

What the fund is, and who can buy it

The fund describes its asset class as asset-backed finance: investments “focused on pools of contractual assets, including, but not limited to, loans, leases, mortgages, or other receivables.” It must put at least 80% of net assets in such investments. It is a non-diversified closed-end fund, organized in Maryland on December 16, 2024, and it continuously offers shares. Its adviser, Oaktree Fund Advisors, belongs to Oaktree, which reported $224 billion of assets under management at June 30, 2026 and is a subsidiary of Brookfield.

The history matters because it is short. A predecessor private placement fund began operations on March 27, 2025. On December 5, 2025 the public fund took over its assets in a tax-free reorganization (the predecessor holders received 4,093,781 shares for $42,780,013, at a NAV of $10.45), and Class I shares started on December 8, 2025. The fund has been public for one full semiannual period and has completed three repurchase offers. The Form N-CSRS for June 30, 2025 is a seed report: $100,000 of net assets on 10,000 shares at $10.00.

Source: prospectus dated April 30, 2026 (Form 486BPOS, accession 0001213900-26-050266). The 1.50% charge on Class A applies to purchases of $250,000 or more made without the upfront load, if repurchased in the first 18 months. The financial highlights in the June 2026 report are presented for Class I only, so everything below about NAV and returns is the Class I record.

Every repurchase offer, with dates

The fund has filed four Form N-23c-3 notices, one a quarter. All four offer the 5% minimum that the interval-fund rule requires; the fund's fundamental policy is to offer “at least 5% and up to 25%” in each quarterly offer, and it may buy an additional 2% if the offer is oversubscribed.

The terms in the October 5 notice are the ones that decide what a holder gets:

• Price and timing. Repurchases are at the NAV set after the New York Stock Exchange close on the pricing date, November 9. The fund expects to pay within five business days and no later than seven calendar days after that date.
• Fee. The fund may charge up to 2.00% on shares held under one year. It was charged: the May offer was paid net of $6,303 of repurchase fees.
• Proration. If more than 5% is tendered, the fund “may, but is not required to” buy an additional 2%. Above that, it buys pro rata and holders must wait for the next offer. It may accept in full holders of fewer than 100 shares who tender everything.
• Withdrawal. Tenders can be withdrawn or modified until 4:00 p.m. Eastern on November 9.
• No floor. The offer is not conditioned on any minimum number of shares being tendered.

The notice also warns: “Some shareholders, in anticipation of proration, may tender more shares than they wish to have repurchased in a particular quarter.” That is the behavior to watch for in later reports, because it inflates requests without changing how many holders want out.

What the fund bought back

The semiannual report for June 30, 2026 prints the results of the February and May offers, and lists the August offer as a subsequent event. These are the only completed results.

In total the fund paid out $1,332,878 across the three offers (our sum). The August offer bought 84,890 shares, 0.21% of the 41,126,756 shares outstanding on June 30 (our arithmetic; the count at the deadline was higher). The fund's net increase in shares for the first half was 8,545,412, so repurchases were a rounding error against new money.

Two limits on what this shows. First, the report prints the dollars and shares repurchased but no line for shares tendered or prorated, so we cannot tell whether requests were below the offer or were met in full. At 0.61% to 4.14% of the offer size, the amounts bought are far below the 5% ceiling, which is consistent with no proration, but the filing does not say so. Second, a fund this young is mostly held by investors who came in during 2025 and 2026 and have had little reason to leave. The test of an interval fund is a quarter in which NAV slips or new money stops, and this record does not contain one. The offer closing November 9 will be reported in the annual report for December 31, 2026, expected in the first quarter of 2027.

The fund's own letter says why it holds liquid assets: “Public investments continue to provide liquidity, diversification and income as the private portfolio ramps.” Section “The valuation share doubled” below puts numbers on that ramp.

NAV and net assets since launch

Class I returned 3.04% (net of fees) for the six months to June 30, 2026 and 3.22% since its December 8, 2025 start, per the shareholder letter. Since year-end, NAV has stayed in a narrow band, $10.29 to $10.40, so the fund has not yet shown a drawdown. Net assets grew 24.9% in the first half (our arithmetic), but at a slowing pace.

Form N-PORT gives monthly flows. Share sales fell from $22.1 million in January to $5.8 million in June, 26.2% of January (our arithmetic), while redemptions appear only in the two offer months:

Sources: Form N-PORT accessions 0000894189-26-016649 (January to March) and 0000894189-26-023860 (April to June). The semiannual report gives $77,654,726 of share sales and $11,389,448 of reinvestment for the half, against $337,631,111 of sales in the 2025 period. The $42.8 million of redemptions in the December 2025 N-PORT is the reorganization month, not a repurchase offer: the annual report states that the fund made no repurchase offers in 2025.

What an asset-based finance fund holds

This is the part most pages about the fund skip. The June 30, 2026 schedule of investments (Form N-CSRS, accession 0001213900-26-097130) groups holdings by instrument and by collateral sector. Percentages below are of net assets; the sector totals are our sums across the private loans, private equity stakes, public asset-backed securities and CLOs.

Money market funds add 3.9%, which brings total investments to 107.9% of net assets; the difference is borrowing and payables (the fund had $65 million drawn on a credit facility). Private investments were 66.9% of net assets and public securities 37.1%. The schedule marks the sector splits as the fund's own classification; the shareholder letter lists the five largest sectors by market value as consumer 32.8%, commercial 23.5%, infrastructure 16.7%, fund finance 10.5% and equipment 7.2%, on a different denominator.

Three things stand out for a reader who assumes “asset-backed” means mortgages. Real estate, including the fund's only mortgage-backed security (a $3.1 million JP Morgan Mortgage Trust class B2 note), is 4.3% of net assets. The largest piece is consumer receivables, often through private equity stakes in loan portfolios rather than loans. And several positions are held through what the schedule calls “Aggregator entities,” which hold the underlying loans.

The fund reports a gross portfolio-level yield of 10.46% on its debt investments, an average spread of 667 basis points and a weighted average life of 4.37 years, across 75 investments averaging about 1.2% each. About 76% of the portfolio is floating rate. At December 31, 2025 the mix was different because the private book had not yet been built: private investments were 34.6% of net assets, public securities 42.5% and money market funds 36.7%. The fund's letter says it targets 80% Core ABF, 10% opportunistic and 10% traded structured credit, against an actual 38%, 16% and 45% at year-end, and that the elevated traded credit “reflects the timing of investor subscriptions relative to the funding schedules of private ABF transactions.”

The valuation share doubled

Level 3 means a price the fund estimates from unobservable inputs, typically discounted cash flows, rather than a quote. The ramp into private deals is visible in this table.

At June 30, 2026 the Level 3 total is $171.3 million of private asset-based loans, $111.8 million of private equity stakes and $1.5 million of asset-backed securities, and the fund bought $210.1 million of Level 3 assets in the half. The discount rates used to value the private loans ranged from 7.0% to 18.0%, weighted 11.9%. Marks on these positions are the fund's, through its valuation committee, not a market price, and they set the NAV at which a holder is repurchased.

What it means for liquidity: the fund can meet a 5% offer (about $21 million at June 30 net assets, our arithmetic) from the $172.2 million of Level 1 and Level 2 holdings, 40.7% of net assets. The longer-term question is what happens if requests rise while the public sleeve shrinks as private deals fund. Form N-PORT for the same date tags positions differently: summing its position-level values gives roughly 76% of net assets at Level 3 (our sum of 88 positions, in the CSV), and for December 31, 2025 roughly 75% against 35.7% in the annual report. The filings do not explain the gap, so we use the fund's own report table above.

Fees, waivers and what changes on December 7, 2026

The management fee is 1.25% of average daily net assets. The adviser waived all of it in the first half, $2,410,969, plus $217,533 of organizational costs, and the waiver runs through December 7, 2026. The filings read are inconsistent on wording (the semiannual report says the adviser “contractually” agreed; the prospectus says “voluntarily”) and do not say whether the waiver will be extended. At 1.25% of June 30 net assets, the fee would be about $5.3 million a year (our arithmetic).

The incentive fee is paid on net investment income: nothing below a 1.50% quarterly return (6.00% annualized) on the class's net assets, and 12.5% of pre-incentive net investment income once that hurdle is exceeded. It cost $2,264,989 in the first half, and the incentive fee ratio was 0.58% (not annualized) against 0.22% in the 2025 period.

A separate expense limit caps “specified expenses” (organizational and offering costs, professional fees, administrator, transfer agent and custodian) at 0.70% of average monthly net assets per class, through at least April 30, 2027. It excludes the management and incentive fees, servicing and distribution fees, interest, and portfolio-level expenses. The adviser can recoup past waivers within three years if expenses later fall below the cap; $3,693,200 was available to be recouped at June 30, 2026. In the financial highlights, gross expenses including interest, incentive fees and organizational costs were 2.31% of average net assets for the half; after reimbursements, net expenses were 1.36%.

Is the distribution earned?

The fund declares and pays distributions monthly from net investment income. In the first half it paid $0.41 a share, $15,596,768 in total, and earned $0.41 of net investment income, $15,565,148. Distributions were therefore 100.2% of net investment income (our arithmetic), and an annualized $0.82 on the $10.30 NAV is a 7.96% rate (our arithmetic). In the 2025 period distributions were $0.06 against $0.49 of income per share on a much smaller base.

The qualifier is the waiver. Net investment income of $15.57 million is after $1,930,251 of expenses waived or recouped by the adviser (the statement of operations shows the line as a reduction in expenses). Before that, income would be $13.63 million, which covers 87.4% of the distribution (our arithmetic). The fund's own ratios say the same thing less sharply: net investment income was 8.67% of average net assets annualized, or 8.38% excluding the effect of waivers and reimbursement. Realized losses of $2,236,586 and unrealized depreciation of $1,893,721 brought the net increase in net assets from operations to $11,434,841, below the $15.6 million distributed.

Leverage and unfunded commitments

Effective June 1, 2026 the fund opened a $125 million senior secured revolving credit facility with Citibank; it had drawn $65 million at June 30, 2026, 15.4% of net assets (our arithmetic). Interest is SOFR plus 2.20% on term loans (average stated rate 6.08% for the half) and the stated maturity is May 31, 2027. The fund must keep asset coverage of at least 300%; it reported $7,514 of coverage per $1,000 of senior securities. Separately, $45.7 million of revolving and delayed-draw loan commitments were unfunded at June 30, 2026, and Rule 144A securities, restricted to institutional resale, were $143.6 million or 33.9% of net assets. With a stated maturity of May 31, 2027, a renewal or replacement should show up in the filings before then.

What a holder can do with this

• If you want out in this offer: your broker or adviser must submit the request so that the fund receives it by 4:00 p.m. Eastern on November 9, 2026. You can withdraw or change it until that time. If you bought within a year, expect a fee of up to 2.00% (in May, $6,303 of fees on a $358,186 gross payout, about 1.8%, our arithmetic).
• If you are deciding whether to add: the 3.04% return in six months and the 7.96% annualized distribution rate are real, but the distribution leaned on waivers, the management fee is free only until December 7, 2026, and the NAV is set mostly by the fund's own marks.
• If you asked to sell in February, May or August: the filings show only what was bought, so confirm with your intermediary whether your request was filled in full.
• What to watch: the annual report for December 31, 2026 (first quarter of 2027) for the November result and tendered shares; whether the fee waiver is extended past December 7; the credit facility renewal before May 31, 2027; and the Level 3 share.

Other funds are in the same position: the private credit redemptions tracker and the comparison of evergreen funds show how requests and payouts behave elsewhere, the list of interval funds places this fund among its peers, and Oaktree's business development company is covered separately in Oaktree Strategic Credit Fund: tenders and dividend cuts.

FAQ

All figures are from the SEC filings of Oaktree Asset-Backed Income Fund Inc. (CIK 2051511) read on EDGAR on October 8, 2026: four Form N-23C3A notices dated January 5, April 6, July 6 and October 5, 2026 (accessions 0000894189-26-000043, 0000894189-26-011881, 0000894189-26-020974 and 0000894189-26-029207), the semiannual report for June 30, 2026 (Form N-CSRS, 0001213900-26-097130), the annual report for December 31, 2025 (Form N-CSR, 0001213900-26-024564), the seed semiannual report for June 30, 2025 (0001213900-25-084469), the prospectus dated April 30, 2026 (Form 486BPOS, 0001213900-26-050266) and three Form N-PORT reports (0000894189-26-006705, 0000894189-26-016649 and 0000894189-26-023860). Percentages marked “our arithmetic” or “our sum” are our calculations from those filings. The tendered-share counts for these offers are not reported in them. This is analysis of public documents, not investment, legal or tax advice.