Investor FAQs

Investor FAQs

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How can I obtain additional information from KCAP Financial, Inc.?
Additional information can be requested by visiting the Contact Us page, or by contacting Amanda Kelly, our Investor Relations contact, at 212-455-8300 or info@kcapinc.com
Who is KCAP Financial's transfer agent?
American Stock Transfer & Trust Company
59 Maiden Lane
New York, NY 10038
(800) 937-5449
(718) 921-8124
Who is the administrator for the Dividend Reinvestment Plan (DRIP)?
American Stock Transfer & Trust Company
59 Maiden Lane
New York, NY 10038
(800) 937-5449
(718) 921-8124
Who is KCAP Financial's outside legal counsel?
Eversheds Sutherland
1114 Ave of the Americas, 40th Floor
The Grace Building
New York, NY 10036
Who is KCAP Financial's independent accountant?
Ernst & Young
5 Times Square
New York, NY 10036
(212) 773-6350
What is the company's fiscal year?
KCAP Financial, Inc. fiscal year ends December 31
The first quarter ends March 31
The second quarter ends June 30
The third quarter ends September 30
The fourth quarter ends December 31
How do I obtain a copy of the company's financial statements, such as an Annual Report and SEC filings?
KCAP Financial's SEC filings and applicable Annual Reports are available on the company's web site here.
How does the Dividend Reinvestment Plan (DRIP) work?
The dividend reinvestment plan (DRIP) provides for automatic reinvestment of our dividends on behalf of our stockholders, unless a stockholder elects to receive cash dividends. Please contact your broker or other financial intermediary for more information regarding the DRIP.
How can I participate in the DRIP?
You must contact your broker or other financial intermediary to inform them that you would like to participate in the DRIP. Although our plan provides for automatic reinvestment of dividends, stockholders whose shares are held in "street name" must contact their broker or other financial intermediary to have their dividends automatically reinvested in KCAP Financial, Inc. stock.
How can I opt out of the Dividend Reinvestment Plan?
A registered stockholder may elect to receive an entire dividend in cash by notifying American Stock Transfer and Trust Company, the plan administrator and our transfer agent and registrar, in writing no later than the record date for dividends to stockholders. Registered stockholders can notify the plan administrator via its website at www.amstock.com, by filling out the transaction request form located at the bottom of their statement and sending it to the plan administrator at P.O. Box 922, Wall Street Station, NY, NY 10269-0560 or by calling the plan administrator's interactive Voice Response System at 1-888-777-0324.
From what sources is the dividend paid?
KCAP Financial's strategy is to fund the dividend primarily from investment income. Supporting the quarterly dividend are the management fees and undistributed income generated by our wholly-owned subsidiary, Katonah Debt Advisors.
What is the dividend payout?
As a Business Development Company, KCAP Financial, Inc. is required to distribute at least 90% of its taxable ordinary income and realized short-term capital gains in excess of any realized long-term capital losses.
Are dividends taxable to stockholders?
Dividends are generally taxable to U.S. stockholders as ordinary income or capital gains. We will send to each of our U.S. registered stockholders, as promptly as possible after the end of each calendar year, a Form 1099-DIV, which details the amounts includable in such U.S. stockholder's taxable income for such year as ordinary income and as long-term capital gains.
What is KCAP Financial's investment objective?
To generate both current income and capital appreciation from our portfolio of middle-market senior secured term loans, mezzanine debt and selected equity investments in privately held companies. Our asset manager affiliates seek to generate stable and recurring fee income that can be distributed to shareholders.
What types of investments does KCAP Financial, Inc. make?
KCAP Financial, Inc. invests in middle-market senior secured term loans, mezzanine debt and selected equity investments in privately-held companies. In addition, the company invests in CLO funds, these CLO funds consist exclusively of credit instruments issued by corporations. KCAP also may receive distributions from its asset manager affiliates, who manage third party CLO funds.
Where can I find information about KCAP Financial's net asset value (NAV)?
Quarterly net asset value per share information can be obtained in our press releases and public filings (e.g.10-Q) with the Securities and Exchange Commission via their website www.sec.gov or by visiting our SEC Filings page.
Does KCAP Financial, Inc. engage an outside valuation firm to value its investment portfolio?
KCAP Financial's Board of Directors is ultimately and solely responsible for making a good faith determination of the fair value of portfolio investments on a quarterly basis. KCAP Financial, Inc. also engages an independent valuation firm, to provide third party valuation consulting services to the company's board of directors. These services consist of certain limited procedures that the board identifies and requests them to perform in order to determine the fair market value of the portfolio investments.
What is the trading symbol for KCAP Financial's common stock and where are the shares traded?
KCAP Financial, Inc. ticker is KCAP. The shares are traded on NASDAQ.
How do I buy shares of the Company? Can I buy shares directly from KCAP Financial, Inc. or do I need a broker?
Investors must go through a broker to purchase shares of KCAP Financial, Inc. stock, although existing shareholders may elect to reinvest their cash dividends to acquire additional shares via our Dividend Reinvestment Plan (DRIP). Please contact your broker or other financial intermediary for more information regarding the DRIP.
How do I know if I am a registered stockholder?
A registered stockholder is one that is shown on the records of the Company. If you purchased shares through a broker, the shares might not be registered in your name but instead may be registered in the name of the broker (held in "street name"). Individual stockholders whose shares are held in street name should contact their broker for more information on any dividend reinvestment plan changes.
When did KCAP Financial, Inc. begin trading in the public marketplace?
KCAP Financial, Inc. became a public company on December 12, 2006 through an initial public offering of 13,500,000 shares at $15.00 per share. The company is incorporated in Delaware.