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Variant Alternative Income Fund

Published date February 5, 2026
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Inception Date
October 2, 2017
Fund Size
$2.6 billion AUM (as of December 2025)
Management Fee
0.95%
Incentive Fee
None

Market Opportunity

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    Targeting niche asset-based lending opportunities that are unserved or underserved by traditional lenders
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    Investments typically have structural protections and the ability to liquidate assets if needed
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    Low correlation to public markets
    • The Variant Alternative Income Fund focuses on unconventional, income-generating assets. These niche credit opportunities are often overlooked by mainstream investors and can offer higher yields with contractual cash flows and embedded structural downside protections.
    Because the market is highly fragmented, established lenders like Variant can access unique deal flow and pursue structure-driven alpha.

    Background of Firm

  • •
    Variant Investments was formed in 2017
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    The firm exclusively manages the Alternative Income Fund and the Impact Fund
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    Team of 28, including 19 investment professionals focused on origination, due diligence, and risk management
    • Variant maintains a focused approach on alternative credit with dedicated resources across sourcing, underwriting, and portfolio risk management.

    Strategy

  • •
    Unconventional income-oriented investments with contractual cash flows backed by hard and financial assets
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    Focus sectors include litigation finance, royalties, structured credit, and receivables
  • •
    Avoids traditional equity beta and seeks structural downside protection
    • The Fund targets niche credit strategies that exhibit bond-like profiles while offering higher yields, such as royalty-backed loans, lender finance, structured settlements, and trade receivables.
    Variant seeks downside-protected positions via seniority, asset backing, and structural protections, while avoiding exposure to assets lacking yield or near-term liquidity.
    The Fund retains flexibility to adjust its asset mix over time as risk/return dynamics evolve. Average deal size typically ranges from $25 million to $50 million, and the portfolio is broadly diversified across 100+ positions.
    Current investment themes include specialty finance, trade finance, transportation finance, litigation finance, real estate debt and equity, and royalties.

    Learn More

    Visit Variant Investments to learn more.
    2261 Market Street, Suite 5190
    San Francisco, CA 94114
    hello@ivyinvest.co
    The Institutional Investment Strategy Fund ("IISF" or "Fund") is an investment company registered under the Investment Company Act of 1940. IISF is a closed-end fund operating as an interval fund that makes quarterly repurchase offers and as such provides limited liquidity. The fund commenced operations on March 5, 2024. An investor should consider the investment objective, risks, charges and expenses of an investment. The Prospectus contains this and other information. Read it carefully before investing.