Denali Structured Return Strategy Fund
12/04/2025 | Press release | Distributed by Public on 12/04/2025 09:39
Semi-Annual Report by Investment Company (Form N-CSRS)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
811-23918
Investment Company Act file number
Denali Structured Return Strategy Fund
(Exact name of registrant as specified in charter)
3550 Lenox Road NE, Suite 2550
Atlanta, GA 30326
(Address of principal executive offices) (Zip code)
Liquid Strategies, LLC
3550 Lenox Road NE, Suite 2550
Atlanta, GA 30326
(Name and address of agent for service)
770-350-8700
Registrant's telephone number, including area code
Date of fiscal year end: March 31
Date of reporting period: September 30, 2025
Item 1. Reports to Stockholders.
| (a) |
|
Denali Structured Return Strategy Fund (DNLIX) |
SEMI-ANNUAL REPORT
September 30, 2025
(Unaudited)
|
Denali Structured Return Strategy Fund Table of Contents (Unaudited) |
|
Schedule of Investments |
2 |
|
|
Schedule of Written Options |
6 |
|
|
Statement of Assets and Liabilities |
7 |
|
|
Statement of Operations |
8 |
|
|
Statements of Changes in Net Assets |
9 |
|
|
Statement of Cash Flows |
10 |
|
|
Financial Highlights |
12 |
|
|
Notes to Financial Statements |
13 |
|
|
Additional Information |
23 |
1
|
Denali Structured Return Strategy Fund Schedule of Investments September 30, 2025 (Unaudited) |
|
Shares / |
First |
Cost / |
Value |
Percent of |
|||||||||
|
INVESTMENTS IN PRIVATE INVESTMENT VEHICLES - 33.8% |
|||||||||||||
|
Partnerships |
|||||||||||||
|
Consumer Lending |
|||||||||||||
|
HFSA, LLC (c) |
10,675 |
3/12/2024 |
$ |
10,674,500 |
$ |
11,020,685 |
8.7 |
% |
|||||
|
Direct Lending |
|||||||||||||
|
Monroe Credit Income Plus Corp (c) |
48,356 |
8/9/2024 |
500,000 |
513,220 |
0.4 |
||||||||
|
Litigation Finance |
|||||||||||||
|
EAJF Leveraged Feeder LP (b)(c) |
5/1/2025 |
5,700,000 |
6,254,536 |
4.9 |
|||||||||
|
Virage Opportunity Fund LP (b)(c) |
11/15/2024 |
404,986 |
404,986 |
0.3 |
|||||||||
|
Real Estate Debt |
|||||||||||||
|
Oak Institutional Credit Solutions, LLC (b)(c) |
4/23/2024 |
3,625,000 |
3,713,932 |
2.9 |
|||||||||
|
Revere Tactical Opportunities Fund IV (b)(c) |
3/6/2025 |
1,500,000 |
1,581,670 |
1.2 |
|||||||||
|
Tailor Ridge Real Estate Lending Fund LP (b)(c) |
9/2/2025 |
2,500,000 |
2,524,830 |
2.0 |
|||||||||
|
Specialty Finance |
|||||||||||||
|
Aero Capital Solutions Fund IV LP (b)(c) |
2/7/2025 |
1,497,129 |
1,700,352 |
1.3 |
|||||||||
|
Bay Point Capital Partners II, LP (a)(d)(e) |
7/31/2025 |
285,793 |
289,976 |
0.2 |
|||||||||
|
BasePoint Income Solutions Evergreen Fund LP (a)(d)(e) |
9/30/2025 |
1,000,000 |
1,000,000 |
0.8 |
|||||||||
|
Coromandel Credit Income Evergreen Fund LP (a)(d)(e) |
8/4/2025 |
9,500,000 |
9,718,889 |
7.7 |
|||||||||
|
Delgatto Diamond Finance Fund LP (b)(c) |
7/2/2024 |
900,000 |
985,766 |
0.8 |
|||||||||
|
Revere Specialty Finance Fund LP (b)(c) |
5/1/2024 |
3,200,000 |
3,356,480 |
2.6 |
|||||||||
|
Total Investment in Partnerships |
41,287,408 |
43,065,322 |
33.8 |
||||||||||
|
Total Investment in Private Investment Vehicles |
43,065,322 |
33.8 |
|||||||||||
|
INVESTMENTS IN LOANS - 40.3% |
|||||||||||||
|
Senior Secured Debt |
|||||||||||||
|
Asset Backed Lending |
|||||||||||||
|
ASSIL, 03/10/2026, 1.15% (a)(e)(f) |
6/5/2025 |
1,500,000 |
1,500,000 |
1.2 |
|||||||||
|
Coromandel LS 15 LLC, 03/01/2027, 13.24%, SOFR + 9.00% (a)(d) |
8/4/2025 |
2,705,715 |
2,705,715 |
2.1 |
|||||||||
|
Coromandel LS 16 LLC, 03/08/2027, 13.24%, SOFR + 9.00% (a)(d) |
8/8/2025 |
200,000 |
200,000 |
0.2 |
|||||||||
|
Coromandel LS 17 LLC, 04/15/2027, 13.24%, SOFR + 9.00% (a)(d) |
9/15/2025 |
500,000 |
500,000 |
0.4 |
|||||||||
|
CRWD Specialty Finance LLC, 11/15/2025, 18.00% (a)(e) |
5/17/2024 |
1,300,000 |
1,300,000 |
1.0 |
|||||||||
|
YAFA, 03/27/2026, 1.15% (a)(e)(f) |
6/18/2025 |
500,000 |
500,000 |
0.4 |
|||||||||
|
Direct Lending |
|||||||||||||
|
CA CO SPV, LLC, 06/30/2027, 12.00% (a)(f) |
7/3/2024 |
4,600,000 |
4,600,000 |
3.6 |
|||||||||
|
CA Credit SPV, LLC, 06/30/2027, 12.50% (a) |
6/6/2024 |
1,400,000 |
1,400,000 |
1.1 |
|||||||||
|
IVY Auto 1, 12/24/2025, 13.50% (a) |
10/24/2024 |
500,000 |
500,000 |
0.4 |
|||||||||
|
IVY Auto 2, 01/07/2026, 13.50% (a) |
11/8/2024 |
300,000 |
300,000 |
0.2 |
|||||||||
|
IVY Auto 3, 03/12/2026, 13.50% (a) |
1/13/2025 |
300,000 |
300,000 |
0.2 |
|||||||||
|
IVY Auto 4, 05/25/2026, 13.50% (a) |
3/26/2025 |
250,000 |
250,000 |
0.2 |
|||||||||
|
IVY Auto 5, 07/07/2026, 13.50% (a) |
5/9/2025 |
300,000 |
300,000 |
0.2 |
|||||||||
|
IVY Auto 6, 07/20/2026, 13.50% (a) |
5/21/2025 |
500,000 |
500,000 |
0.4 |
|||||||||
|
IVY Auto 7, 08/10/2026, 13.50% (a) |
6/11/2025 |
250,000 |
250,000 |
0.2 |
|||||||||
|
RIM SPV, LLC, 09/30/2028, 14.00% (a) |
2/21/2025 |
5,650,000 |
5,650,000 |
4.5 |
|||||||||
|
Litigation Finance |
|||||||||||||
|
Virage Opportunity Fund Credit Facility, 12/20/2028, 18.25% (a) |
12/20/2024 |
1,874,914 |
1,874,914 |
1.5 |
|||||||||
|
Total Investment in Senior Secured Debt |
22,630,629 |
22,630,629 |
17.8 |
||||||||||
The accompanying notes are an integral part of the financial statements.
2
|
Denali Structured Return Strategy Fund Schedule of Investments September 30, 2025 (Unaudited) (Continued) |
|
Shares / |
First |
Cost / |
Value |
Percent of |
||||||||
|
Senior Unsecured Debt |
||||||||||||
|
Asset Backed Lending |
||||||||||||
|
Altriarch Specialty Finance SPV II, LLC, 12/31/2025, 8.00% (a)(f) |
4/19/2024 |
$ |
7,600,000 |
$ |
7,600,000 |
6.0% |
||||||
|
Specialty Finance |
||||||||||||
|
IVY Battery, LLC 1, 06/22/2026, 12.25% (a) |
4/23/2024 |
1,200,000 |
1,200,000 |
0.9 |
||||||||
|
IVY Battery, LLC 2, 07/16/2026, 12.25% (a) |
5/17/2024 |
600,000 |
600,000 |
0.5 |
||||||||
|
IVY Battery, LLC 3, 08/23/2026, 12.25% (a) |
6/24/2024 |
400,000 |
400,000 |
0.3 |
||||||||
|
IVY Battery, LLC 4, 09/18/2025, 12.25% (a) |
7/19/2024 |
500,000 |
500,000 |
0.4 |
||||||||
|
IVY Battery, LLC 5, 10/04/2026, 12.25% (a) |
8/5/2024 |
300,000 |
300,000 |
0.2 |
||||||||
|
IVY Battery, LLC 6, 10/19/2025, 12.25% (a) |
8/20/2024 |
300,000 |
300,000 |
0.2 |
||||||||
|
IVY Battery, LLC 7, 12/14/2025, 12.25% (a) |
10/11/2024 |
200,000 |
200,000 |
0.2 |
||||||||
|
IVY Battery, LLC 8, 01/08/2026, 12.25% (a) |
11/8/2024 |
500,000 |
500,000 |
0.4 |
||||||||
|
IVY Battery, LLC 9, 01/12/2026, 12.25% (a) |
11/13/2024 |
500,000 |
500,000 |
0.4 |
||||||||
|
IVY Battery, LLC 10, 02/05/2026, 12.25% (a) |
12/6/2024 |
500,000 |
500,000 |
0.4 |
||||||||
|
IVY Battery, LLC 11, 03/01/2026, 12.25% (a) |
1/2/2025 |
750,000 |
750,000 |
0.6 |
||||||||
|
IVY Battery, LLC 12, 03/12/2026, 12.25% (a) |
1/13/2025 |
400,000 |
400,000 |
0.3 |
||||||||
|
IVY Battery, LLC 13, 04/11/2026, 12.25% (a) |
2/11/2025 |
750,000 |
750,000 |
0.6 |
||||||||
|
IVY Battery, LLC 14, 05/25/2026, 12.25% (a) |
3/26/2025 |
300,000 |
300,000 |
0.2 |
||||||||
|
IVY Battery, LLC 15, 07/08/2026, 12.25% (a) |
5/9/2025 |
250,000 |
250,000 |
0.2 |
||||||||
|
IVY Battery, LLC 16, 07/20/2026, 12.25% (a) |
5/21/2025 |
500,000 |
500,000 |
0.4 |
||||||||
|
IVY Battery, LLC 17, 11/15/2025, 12.25% (a) |
5/21/2025 |
500,000 |
500,000 |
0.4 |
||||||||
|
IVY Iron, LLC, 01/03/2026, 13.50% (a) |
11/4/2024 |
500,000 |
500,000 |
0.4 |
||||||||
|
Total Investment in Senior Unsecured Debt |
16,550,000 |
16,550,000 |
13.0 |
|||||||||
|
Subordinated Debt |
||||||||||||
|
Trade Receivables Finance |
||||||||||||
|
PFF LLC 1, 12/18/2025, 12.11%, (a) |
12/18/2024 |
1,506,125 |
1,506,125 |
1.2 |
||||||||
|
PFF LLC 2, 09/18/2025, 11.86%, (a) |
12/18/2024 |
1,506,125 |
1,506,125 |
1.2 |
||||||||
|
PFF LLC 3, 12/18/2025, 11.61%, (a) |
6/18/2024 |
1,506,125 |
1,506,125 |
1.2 |
||||||||
|
PFF LLC 4, 12/13/2025, 11.99%, (a) |
12/13/2024 |
750,000 |
750,000 |
0.6 |
||||||||
|
PFF LLC 5, 06/18/2026, 12.36%, (a) |
12/18/2024 |
1,506,125 |
1,506,125 |
1.2 |
||||||||
|
PFF LLC 6, 01/24/2026, 12.01%, (a) |
1/24/2025 |
1,000,000 |
1,000,000 |
0.8 |
||||||||
|
PFF LLC 7, 08/20/2026, 12.28%, (a) |
2/20/2025 |
1,000,000 |
1,000,000 |
0.8 |
||||||||
|
PFF LLC 8, 09/11/2026, 11.94%, (a) |
3/11/2025 |
500,000 |
500,000 |
0.4 |
||||||||
|
PFF LLC 9, 05/09/2026, 11.63%, (a) |
5/9/2025 |
500,000 |
500,000 |
0.4 |
||||||||
|
PFF LLC 10, 05/21/2027, 12.25%, (a) |
5/21/2025 |
600,000 |
600,000 |
0.5 |
||||||||
|
PFF LLC 11, 01/25/2026, 11.16%, (a) |
5/9/2025 |
1,000,000 |
1,000,000 |
0.8 |
||||||||
|
PFF LLC 12, 08/15/2026, 11.72%, (a) |
5/21/2025 |
500,000 |
500,000 |
0.4 |
||||||||
|
Total Investment in Subordinated Debt |
11,874,500 |
11,874,500 |
9.5 |
|||||||||
|
Total Investment in Loans |
51,055,129 |
40.3 |
||||||||||
|
INVESTMENTS IN LOAN PARTICIPATION - 5.3% |
||||||||||||
|
Portfolio of Loans |
||||||||||||
|
Real Estate |
||||||||||||
|
Revere UPL Participation (a)(c)(e)(f) |
4/25/2025 |
1,500,000 |
1,500,000 |
1.2 |
||||||||
|
Total Investment in Portfolio of Loans |
1,500,000 |
1,500,000 |
1.2 |
|||||||||
The accompanying notes are an integral part of the financial statements.
3
|
Denali Structured Return Strategy Fund Schedule of Investments September 30, 2025 (Unaudited) (Continued) |
|
Shares / |
First |
Cost / |
Value |
Percent of |
||||||||
|
Preferred Equity |
||||||||||||
|
Real Estate |
||||||||||||
|
Revere Capital Los Alamos MF LLC, 10.20% (a)(e)(f) |
6/27/2024 |
$ |
3,114,714 |
$ |
3,114,714 |
2.5% |
||||||
|
Total Investment in Preferred Equity |
3,114,714 |
3,114,714 |
2.5 |
|||||||||
|
Senior Secured Debt |
||||||||||||
|
Asset Backed Lending |
||||||||||||
|
Coromandel LS LLC Beta Corp, 06/30/2028, 14.19%, SOFR + 9.95% (a)(d) |
4/29/2025 |
1,006,250 |
1,006,250 |
0.8 |
||||||||
|
Coromandel LS LLC Beta SPV, 06/30/2028, 14.19%, SOFR + 9.95% (a)(d) |
4/29/2025 |
743,750 |
743,750 |
0.6 |
||||||||
|
Consumer Lending |
||||||||||||
|
Revere BCF Funding, LLC, 03/01/2029, 15.54%, SOFR + 11.30% (a)(c)(e)(f) |
8/1/2025 |
306,040 |
306,040 |
0.2 |
||||||||
|
Total Investment in Senior Secured Debt |
2,056,040 |
2,056,040 |
1.6 |
|||||||||
|
Total Investment in Loan Participation |
6,670,754 |
5.3 |
||||||||||
|
INVESTMENTS IN PROFIT SHARE INTEREST - 5.3% |
||||||||||||
|
Unsecured Equity in Credit Enhancment |
||||||||||||
|
Consumer Lending |
||||||||||||
|
Winston Legal Capital LLC, 15.50% (a)(f) |
2/28/2025 |
1,500,000 |
1,500,000 |
1.2 |
||||||||
|
Total Investment in Unsecured Equity in Credit Enhancement |
1,500,000 |
1,500,000 |
1.2 |
|||||||||
|
Asset Purchase and Sale Agreement |
||||||||||||
|
Asset Backed Lending |
||||||||||||
|
Bijan & Co, Inc, 03/10/2026, 1.15% monthly profit share interest (a)(e)(f) |
9/10/2024 |
225,000 |
225,000 |
0.2 |
||||||||
|
BR Diamonds, 02/28/2026, 1.15% monthly profit share interest (a)(e)(f) |
9/13/2024 |
162,500 |
162,500 |
0.1 |
||||||||
|
LuxTech 2 Geneva SA, 10/28/2025, 1.15% monthly profit share interest (a)(e)(f) |
10/25/2024 |
25,000 |
25,000 |
0.0 |
||||||||
|
LuxTech 3 Geneva SA, 12/12/2025, 1.15% monthly profit share interest (a)(e)(f) |
12/11/2024 |
100,000 |
100,000 |
0.1 |
||||||||
|
Safdico Botswana Ltd, 11/08/2025, 1.15% monthly profit share interest (a)(e)(f) |
10/31/2024 |
675,000 |
675,000 |
0.5 |
||||||||
|
PGA Mastermind, LLC, 02/12/2026, 1.15% monthly profit share interest (a)(e)(f) |
2/11/2025 |
750,000 |
750,000 |
0.6 |
||||||||
|
Rio Diamond, 10/02/2025, 1.15% monthly profit share interest (a)(e)(f) |
4/4/2025 |
300,000 |
300,000 |
0.2 |
||||||||
|
Rio Diamond 2, 01/10/2026, 1.15% monthly profit share interest (a)(e)(f) |
5/30/2025 |
500,000 |
500,000 |
0.4 |
||||||||
|
Wrista 2, 12/18/2025, 1.15% monthly profit share interest (a)(e)(f) |
6/18/2025 |
1,000,000 |
1,000,000 |
0.8 |
||||||||
|
Zoya, 12/05/2025, 1.15% monthly profit share interest (a)(e)(f) |
6/5/2025 |
300,000 |
300,000 |
0.2 |
||||||||
|
Rafka, 01/25/2026, 1.15% monthly profit share interest (a)(e)(f) |
5/30/2025 |
650,000 |
650,000 |
0.5 |
||||||||
|
SD Diamonds, 01/07/2026, 1.15% monthly profit share interest (a)(e)(f) |
6/18/2025 |
500,000 |
500,000 |
0.4 |
||||||||
|
Zoya 2, 02/04/2026, 1.15% monthly profit share interest (a)(e)(f) |
6/5/2025 |
150,000 |
150,000 |
0.1 |
||||||||
|
Total Investment in Asset Purchase and Sale Agreement |
5,337,500 |
5,337,500 |
4.1 |
|||||||||
|
Total Investment in Profit Share Interest |
6,837,500 |
5.3 |
||||||||||
|
INVESTMENTS IN PUBLIC SECURITIES - 4.1% |
||||||||||||
|
Open-End Funds |
||||||||||||
|
Holbrook Structured Income Fund - Class I |
274,928 |
2,700,000 |
2,691,549 |
2.1 |
||||||||
|
Total Investment in Open-End Funds |
2,700,000 |
2,691,549 |
2.1 |
|||||||||
|
Closed-End Funds |
||||||||||||
|
Cliffwater Enhanced Lending Fund - Class I |
229,667 |
2,472,587 |
2,551,599 |
2.0 |
||||||||
|
Total Investment in Closed-End Funds |
2,472,587 |
2,551,599 |
2.0 |
|||||||||
|
Total Investment in Public Securities |
5,243,148 |
4.1 |
||||||||||
|
INVESTMENTS IN MONEY MARKET INSTRUMENTS - 8.7% |
||||||||||||
|
First American Treasury Obligations Fund - Class X, 4.02% (g) |
11,004,061 |
11,004,061 |
11,004,061 |
8.7 |
||||||||
|
Total Investment in Money Market Instruments |
11,004,061 |
11,004,061 |
8.7 |
|||||||||
The accompanying notes are an integral part of the financial statements.
4
|
Denali Structured Return Strategy Fund Schedule of Investments September 30, 2025 (Unaudited) (Continued) |
|
Contracts |
Notional |
Cost / |
Value |
Percent of |
|||||||||||
|
INVESTMENTS IN PURCHASED OPTIONS - 3.4% |
|||||||||||||||
|
Call Options |
|||||||||||||||
|
S&P 500 Index |
|||||||||||||||
|
Expiration: 12/31/25; Exercise: $6,685.00 (h) |
191 |
$ |
127,683,500 |
$ |
4,281,152 |
$ |
4,281,074 |
3.4 |
% |
||||||
|
Total Investment in Purchased Options |
4,281,152 |
4,281,074 |
3.4 |
||||||||||||
|
Total Investments - 100.9% (cost $126,308,591) |
128,156,988 |
100.9 |
|||||||||||||
|
Liabilities in Excess of Other Assets - (0.9)% |
(1,272,746 |
) |
(0.9 |
) |
|||||||||||
|
TOTAL NET ASSETS - 100.0% |
$ |
126,884,242 |
100.0 |
% |
|||||||||||
Percentages are stated as a percent of net assets.
SOFR Secured Overnight Financing Rate
(a) Value was determined using significant unobservable inputs. See Note 9 for details.
(b) Private investment company does not issue shares or units.
(c) Investment valued using net asset value per share (or its equivalent) as a practical expedient. See Note 9 for respective investment strategies, unfunded commitments, and redemptive restrictions.
(d) Variable rate security. Rate shown is the rate in effect as of period end.
(e) The investment was made through a participation which is a form of indirect investment in loans made by third parties.
(f) The security receives profit sharing. The Fund may acquire income-generating equity membership interests into business entities that generate income from investment in into interest bearing notes or loans or from investment into other business or consumer lending portfolios.
(g) The rate shown represents the 7-day annualized effective yield as of September 30, 2025.
(h) Exchange traded. 100 shares per contract.
The accompanying notes are an integral part of the financial statements.
5
|
Denali Structured Return Strategy Fund Schedule of Written Options September 30, 2025 (Unaudited) |
|
Contracts |
Notional |
Premiums |
Value |
Percent of |
||||||||||||||
|
WRITTEN OPTIONS - (0.9)% |
||||||||||||||||||
|
Written Options |
||||||||||||||||||
|
S&P 500 Index |
||||||||||||||||||
|
Expiration: 12/31/25; Exercise: $7,020.00 (a) |
(191 |
) |
$ |
(134,082,000 |
) |
$ |
(1,138,956 |
) |
$ |
(1,139,124 |
) |
(0.9 |
)% |
|||||
|
Total Written Options |
(1,138,956 |
) |
(1,139,124 |
) |
(0.9 |
)% |
||||||||||||
Percentages are stated as a percent of net assets.
(a) Exchange traded. 100 shares per contract.
The accompanying notes are an integral part of the financial statements.
6
|
Denali Structured Return Strategy Fund Statement of Assets and Liabilities September 30, 2025 (Unaudited) |
|
Assets |
||||
|
Investments, at value |
$ |
128,156,988 |
||
|
Receivable for investments sold |
1,754,356 |
|||
|
Receivable for fund shares sold |
7,013 |
|||
|
Dividends and interest receivable |
1,474,243 |
|||
|
Deposits at broker for options contracts |
3,243,833 |
|||
|
Prepaid expenses and other assets |
110,159 |
|||
|
Total assets |
134,746,592 |
|||
|
Liabilities |
||||
|
Written option contracts, at value |
1,139,124 |
|||
|
Payable for investments purchased |
5,281,152 |
|||
|
Distribution Payable |
1,144,840 |
|||
|
Payable to adviser |
176,035 |
|||
|
Payable for fund administration and accounting fees |
48,103 |
|||
|
Payable for transfer agent fees |
29,867 |
|||
|
Payable for expenses and other liabilities |
43,229 |
|||
|
Total liabilities |
7,862,350 |
|||
|
Net Assets |
$ |
126,884,242 |
||
|
Net Assets Consists of: |
||||
|
Paid-in capital |
$ |
120,239,552 |
||
|
Total distributable earnings (accumulated losses) |
6,644,690 |
|||
|
Net Assets |
$ |
126,884,242 |
||
|
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) |
11,233,462 |
|||
|
Net Asset Value, redemption price and offering price per share |
$ |
11.30 |
||
|
Cost: |
||||
|
Investments |
$ |
126,308,591 |
||
|
Premiums received, written options |
$ |
(1,138,956 |
) |
The accompanying notes are an integral part of the financial statements.
7
|
Denali Structured Return Strategy Fund Statement of Operations For the Six Months Ended September 30, 2025 (Unaudited) |
|
Investment Income |
||||
|
Dividend income |
$ |
166,274 |
||
|
Interest income |
5,236,695 |
|||
|
Total investment income |
5,402,969 |
|||
|
Expenses |
||||
|
Investment advisory fee |
935,510 |
|||
|
Fund administration and accounting fees |
78,394 |
|||
|
Transfer agent fees |
39,096 |
|||
|
Legal fees |
27,964 |
|||
|
Professional fees |
23,586 |
|||
|
Federal and state registration fees |
23,531 |
|||
|
Trustees' fees |
10,030 |
|||
|
Custodian fees |
3,748 |
|||
|
Reports to shareholders |
1,178 |
|||
|
Other |
9,677 |
|||
|
Total expenses |
1,152,714 |
|||
|
Less: Expense reimbursement (waiver) by Adviser |
(20,428 |
) |
||
|
Net expenses |
1,132,286 |
|||
|
Net Investment Income (Loss) |
4,270,683 |
|||
|
Realized and Unrealized Gain (Loss) on Investments |
||||
|
Net realized gain (loss) on: |
||||
|
Investments |
10,484,935 |
|||
|
Written option contracts expired or closed |
(4,886,685 |
) |
||
|
Net realized gain (loss) |
5,598,250 |
|||
|
Net change in unrealized appreciation (depreciation) on: |
||||
|
Investments |
960,696 |
|||
|
Written option contracts expired or closed |
(1,039 |
) |
||
|
Net change in unrealized appreciation (depreciation) |
959,657 |
|||
|
Net realized and unrealized gain (loss) on investments |
6,557,907 |
|||
|
Net increase (decrease) in net assets resulting from operations |
$ |
10,828,590 |
The accompanying notes are an integral part of the financial statements.
8
|
Denali Structured Return Strategy Fund Statements of Changes in Net Assets |
|
Six Months |
Year |
|||||||
|
From Operations |
||||||||
|
Net investment income (loss) |
$ |
4,270,683 |
$ |
4,182,916 |
||||
|
Net realized gain (loss) on investments and written options |
5,598,250 |
271,685 |
||||||
|
Net change in unrealized appreciation (depreciation) on investments and written options |
959,657 |
889,460 |
||||||
|
Net increase (decrease) in net assets resulting from operations |
10,828,590 |
5,344,061 |
||||||
|
From Distributions |
||||||||
|
Distributable earnings |
(4,224,888 |
) |
(5,303,537 |
) |
||||
|
Return of capital |
- |
- |
||||||
|
Total distributions |
(4,224,888 |
) |
(5,303,537 |
) |
||||
|
Fund Capital Shares Transactions |
||||||||
|
Subscriptions |
37,698,168 |
92,443,805 |
||||||
|
Redemptions |
(12,177,955 |
) |
(3,033,369 |
) |
||||
|
Reinvestments |
2,433,820 |
2,760,083 |
||||||
|
Net increase (decrease) in net assets resulting from capital share transactions |
27,954,033 |
92,170,519 |
||||||
|
Total Increase (Decrease) in Net Assets |
34,557,735 |
92,211,043 |
||||||
|
Net Assets |
||||||||
|
Beginning of period |
92,326,507 |
115,464 |
||||||
|
End of period |
$ |
126,884,242 |
$ |
92,326,507 |
||||
|
Changes in Shares Outstanding |
||||||||
|
Beginning shares |
8,662,949 |
11,493 |
||||||
|
Subscriptions |
3,434,072 |
8,668,992 |
||||||
|
Redemptions |
(1,081,570 |
) |
(273,887 |
) |
||||
|
Reinvestments |
218,011 |
256,351 |
||||||
|
Net increase (decrease) in shares outstanding |
2,570,513 |
8,651,456 |
||||||
|
Ending shares |
11,233,462 |
8,662,949 |
||||||
The accompanying notes are an integral part of the financial statements.
9
|
Denali Structured Return Strategy Fund Statement of Cash Flows |
|
Six Months |
||||
|
Cash Provided by (Used in) Operating Activities |
||||
|
Net increase (decrease) in net assets from operations |
$ |
10,828,590 |
||
|
Adjustments to reconcile net increase (decrease) in net assets resulting from operations |
||||
|
Purchases of investment securities |
(47,494,723 |
) |
||
|
Sales of investment securities |
17,641,767 |
|||
|
Purchased option transactions |
(9,742,708 |
) |
||
|
Proceeds from purchased options |
19,344,362 |
|||
|
Premiums received from written options |
2,738,795 |
|||
|
Premiums paid on closing written options |
(7,668,287 |
) |
||
|
Purchases and sales of short-term investments, net |
(2,247,191 |
) |
||
|
Net realized (gain) loss on investments and written options |
(5,598,250 |
) |
||
|
Net change in unrealized (appreciation) depreciation on investments and written options |
(959,657 |
) |
||
|
(Increase) Decrease in Assets: |
||||
|
Investments paid in advance |
(750,000 |
) |
||
|
Receivable for investments sold |
(52,372 |
) |
||
|
Receivable for distributions from private investment vehicles |
(396,100 |
) |
||
|
Dividends and interest receivable |
(2,339,110 |
) |
||
|
Prepaid expenses and other assets |
(143,715 |
) |
||
|
Deferred offering costs |
59,139 |
|||
|
Increase (Decrease) in Liabilities: |
||||
|
Payable for investments purchased |
1,883,832 |
|||
|
Payable to Adviser, net of waiver (recoupment) |
107,047 |
|||
|
Payable to trustees |
(552 |
) |
||
|
Payable for fund administration and accounting fees |
(459 |
) |
||
|
Payable for transfer agent fees |
5,597 |
|||
|
Payable for legal fees |
(9,051 |
) |
||
|
Payable for audit fees |
(44,499 |
) |
||
|
Payable for expenses and other liabilities |
(33,934 |
) |
||
|
Net cash provided by (used in) operating activities |
(24,871,479 |
) |
||
The accompanying notes are an integral part of the financial statements.
10
|
Denali Structured Return Strategy Fund Statement of Cash Flows (Continued) |
|
Six Months |
||||
|
Cash Provided by (Used in) Financing Activities |
||||
|
Proceeds from shares sold, net of receivable for fund shares sold |
$ |
37,691,155 |
||
|
Payment on shares redeemed |
(12,177,955 |
) |
||
|
Cash distributions paid to shareholders, net of reinvestments |
(646,228 |
) |
||
|
Net cash provided by (used in) financing activities |
24,866,972 |
|||
|
Net increase (decrease) in cash and restricted cash |
$ |
(4,507 |
) |
|
|
Cash and Restricted Cash |
||||
|
Beginning Balance |
4,507 |
|||
|
Ending Balance |
$ |
- |
||
|
Reconciliation of Restricted and Unrestricted Cash at the Beginning of the Period to the Statement of Assets & Liabilities: |
||||
|
Cash |
- |
|||
|
Deposits at broker for options contracts |
4,507 |
|||
|
Total restricted and unrestricted cash at beginning of period |
$ |
4,507 |
||
|
Reconciliation of Restricted and Unrestricted Cash at the End of the Period to the Statement of Assets & Liabilities: |
||||
|
Cash |
- |
|||
|
Deposits at broker for options contracts |
- |
|||
|
Total restricted and unrestricted cash at end of period |
$ |
- |
||
|
Supplemental Information of Cash Flow and Non-Cash Information |
||||
|
Non-Cash financing activities - decrease in receivable for fund shares sold |
(1,593,808 |
) |
||
|
Non-Cash financing activities - increase in distributions payable |
691,622 |
|||
|
Non-Cash financing activities - distributions reinvested |
2,433,820 |
|||
The accompanying notes are an integral part of the financial statements.
11
|
Denali Structured Return Strategy Fund Financial Highlights |
|
Six Months |
Year Ended |
Period Ended |
||||||||||
|
Per Share Data: |
||||||||||||
|
Net Asset Value, Beginning of Period |
$ |
10.66 |
$ |
10.05 |
$ |
10.00 |
||||||
|
Investments Operations: |
||||||||||||
|
Net investment income(b) |
0.42 |
0.88 |
0.13 |
|||||||||
|
Net realized and unrealized gain (loss) on investments |
0.62 |
0.54 |
(0.08 |
) |
||||||||
|
Total from investment operations |
1.04 |
1.42 |
0.05 |
|||||||||
|
Less distributions paid: |
||||||||||||
|
Net investment income |
(0.40 |
) |
(0.42 |
) |
- |
|||||||
|
Long-term capital gains |
- |
(0.39 |
) |
- |
||||||||
|
Total distributions paid |
(0.40 |
) |
(0.81 |
) |
- |
|||||||
|
Net Asset Value, End of Period |
$ |
11.30 |
$ |
10.66 |
$ |
10.05 |
||||||
|
Total return(c) |
10.24 |
% |
14.17 |
% |
0.50 |
% |
||||||
|
Supplemental Data and Ratios: |
||||||||||||
|
Net assets, end of period (000's) |
$ |
126,884 |
$ |
92,327 |
$ |
115 |
||||||
|
Ratio of expenses to average net assets(d) |
||||||||||||
|
Before expense reimbursement/recoupment(e) |
2.03 |
% |
2.77 |
% |
993.31 |
% |
||||||
|
After expense reimbursement/recoupment(e) |
1.99 |
% |
1.99 |
% |
1.99 |
% |
||||||
|
Ratio of net investment income to average net assets(d) |
||||||||||||
|
Before expense reimbursement/recoupment(e)(f) |
7.50 |
% |
7.31 |
% |
(968.00 |
)% |
||||||
|
After expense reimbursement/recoupment(e)(f) |
7.54 |
% |
8.09 |
% |
23.32 |
% |
||||||
|
Portfolio turnover rate(c) |
18 |
% |
9 |
% |
- |
% |
||||||
(a) Commencement of operations of the Fund was March 12, 2024.
(b) Net investment income per share was calculated using average shares outstanding during the period.
(c) Not annualized for periods less than one year.
(d) The ratios of expenses and net investment income to average net assets do not reflect the Fund's proportionate share of income and expenses of underlying investment companies in which the Fund invests, including management and performance fees.
(e) Annualized for periods less than one year.
(f) As of September 30, 2025, the Fund's underlying investment companies included a range of management fees from 0.00% to 2.25% (unaudited) and performance fees from 10% to 20% (unaudited).
The accompanying notes are an integral part of the financial statements.
12
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) |
1. Organization
Denali Structured Return Strategy Fund (the "Fund") was organized as a statutory trust under the laws of the state of Delaware on October 23, 2023, and commenced operations on March 12, 2024. The Fund is registered under the Investment Company Act of 1940, as amended (the "1940 Act"), as a continuously-offered, closed-end management investment company that operates as an interval fund. The Fund's investment objective is primarily income and secondarily capital appreciation. The Fund is non-diversified and pursues its investment objective through direct and indirect investment of a substantial majority of its assets in income-generating investments of domestic issuers; and through a modest (approximately one and a half to three percent of total assets) investment in call option spreads on the S&P 500® Index. These investments may be publicly-traded or privately-offered, and typically make interest, dividend, or other periodic payments, distributions, and/or accruals; in addition to offering potential capital appreciation to investors. The Fund defines income-generating investments to include notes, bonds, debentures, loans, loan participations, dividend-paying preferred and common shares and funds that invest in the preceding.
The Fund is managed by Liquid Strategies, LLC (the "Adviser"). The Adviser is an investment adviser registered with the Securities and Exchange Commission ("SEC").
The Fund's Board of Trustees (the "Board" or "Trustees") is responsible for the overall management of the Fund, including supervision of the duties performed by the Adviser.
2. Significant Accounting Policies
The Fund prepares its financial statements in accordance with accounting principles generally accepted in the United States of America ("GAAP"). The Fund is an investment company and applies the specialized accounting and reporting guidance in the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 946 Financial Services - Investment Companies. The functional and reporting currency of the Fund is the U.S. dollar. Following are the significant accounting policies adopted by the Fund:
A. Use of Estimates
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, recognition of income, and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.
B. Fund Expenses
The Fund bears its own operating expenses subject to an expense limitation and reimbursement agreement discussed in Note 4. These operating expenses include, but are not limited to: all investment-related expenses, advisory fees, registration expenses, legal fees, audit and tax preparation fees and expenses, administrative and accounting expenses and fees, transfer agent fees, custody fees, costs of insurance, fees and travel-related expenses of the Board, and all costs and expenses of preparing, setting in type, printing and distributing reports and other communications to shareholders.
C. Investment Transactions and Investment Income
Securities transactions are recorded on the trade date. Realized gains and losses from securities transactions are calculated on a specific identification basis. Interest income is recognized on the accrual basis. Dividend income is recorded on the ex-dividend date. Distributions received from investments in securities and private funds that represent a return of capital or capital gains are recorded as a reduction of cost or as a realized gain, respectively. Distributions from private funds occur at irregular intervals and the exact timing and character has not been communicated from the private funds. It is estimated that distributions will occur over the life of the private funds.
D. Distributions to Shareholders
The Fund's distributions may be funded from unlimited amounts of offering proceeds or borrowings, which may constitute a return of capital and reduce the amount of capital available to the Fund for investment. Any capital returned to shareholders through distributions will be distributed after payment of fees and expenses.
13
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
E. Investment Valuation
In computing the net asset value ("NAV"), portfolio securities of the Fund are valued at their current market values determined on the basis of market quotations. If market quotations are not readily available (collectively, "Fair Valued Securities"), securities are valued at fair value as determined by the Adviser, in its capacity as the Valuation Designee (the "Valuation Designee"). The Board has delegated the day-to-day responsibility for determining these fair values in accordance with the policies it has approved for each period end. Fair valuation involves subjective judgments, and it is possible that the fair value determined for a security may differ materially from the value that could be realized upon the sale of the security. There is no single standard for determining fair value of a security. Rather, the fair value determinations involve significant professional judgment in the application of both observable and unobservable attributes, and as a result, the calculated NAVs of the Fair Valued Securities' assets may differ from their actual realizable value or future fair value. In determining the fair value of a security for which there are no readily available market quotations, the Adviser may consider several factors, including fundamental analytical data relating to the investment in the security, the nature and duration of any restriction on the disposition of the security, the cost of the security at the date of purchase, the liquidity of the market for the security as well as overall market information and the prices of a group of similar assets. The Adviser may also consider periodic financial statements (audited and unaudited) or other information provided by the issuer to investors or prospective investors.
As a general matter, the Fund's investments in private debt will be fair valued at the cost of the security as of the date of purchase and generally held at cost subject to the following events: (i) a material change in interest rates/yields for similar securities; (ii) a major underlying collateral impairment since origination; (iii) interest and/or principal payment default; (iv) a fundamental change that has not been reflected in cost that puts recoverability in serious doubt; and (v) an expected partial/full sale of security to a third party at a different price than estimated fair value.
The Fund's investments in pooled investment vehicles will be fair valued at the cost of the security as of the date of purchase and subsequently valued at the pooled investment vehicle's net asset value, as determined by such pooled investment vehicle's manager.
For purposes of determining the NAV of the Fund, readily marketable portfolio securities listed on the New York Stock Exchange ("NYSE") are valued, except as indicated below, at the last sale price reflected on the consolidated tape at the close of the NYSE on the business day as of which such value is being determined. If there has been no sale on such day, the securities are valued at the mean of the closing bid and asked prices on such day. If no bid or asked prices are quoted on such day or if market prices may be unreliable because of events occurring after the close of trading, then the security is valued by such method as the Adviser determines in good faith to reflect its fair market value. Readily marketable securities not listed on the NYSE but listed on other domestic or foreign securities exchanges are valued in a like manner. Portfolio securities traded on more than one securities exchange are valued at the last sale price on the business day as of which such value is being determined as reflected on the consolidated tape at the close of the exchange representing the principal market for such securities. Securities trading on the NASDAQ Global Market®, NASDAQ Global Select Market® and the NASDAQ Capital Market® exchanges (collectively, "NASDAQ") are valued at the NASDAQ official closing price.
Readily marketable securities traded in the over-the-counter market, including listed securities whose primary market is believed by the Adviser to be over-the-counter, are valued at the mean of the current bid and asked prices as reported by the NASDAQ or, in the case of securities not reported by the NASDAQ or a comparable source, as the Adviser deems appropriate to reflect their fair market value. Where securities are traded on more than one exchange and also over-the-counter, the securities will generally be valued using the quotations the Board believes reflect most closely the value of such securities.
Non-dollar-denominated securities, if any, are valued as of the close of the NYSE at the closing price of such securities in their principal trading market, but may be valued at fair value if subsequent events occurring before the computation of NAV materially have affected the value of the securities. Trading may take place in foreign issues held by the Fund, if any, at times when the Fund is not open for business. As a result, the Fund's NAV may change at times when it is not possible to purchase or sell shares of the Fund. The Fund may use a third-party pricing service to assist it in determining the market value of securities in the Fund's portfolio.
Exchange-traded options are valued at last sale price.
14
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
The Adviser provides the Board with periodic reports that discuss the functioning of the fair valuation process, if applicable to that period, and that identify issues and valuations problems that have arisen, if any.
F. Cash and Cash Equivalents
Cash and cash equivalents include liquid investments of sufficient credit quality with original maturities of three months or less from the date of purchase.
G. Income Taxes
The Fund intends to elect and continue to qualify to be taxed as a "regulated investment company" under Subchapter M of the Internal Revenue Code of 1986, as amended. If so qualified, the Fund generally will not be subject to federal income tax to the extent it distributes substantially all of its net investment income and capital gains to shareholders. The Fund generally intends to operate in a manner such that it will not be liable for federal income or excise taxes.
Fund is subject to authoritative guidance related to the accounting and disclosure of uncertain tax positions under GAAP. This guidance sets forth a minimum threshold for the financial statement recognition of tax positions taken based on the technical merits of such positions when the positions are more likely than not to be sustained. Management is not aware of any exposure to uncertain tax positions that could require accrual.
As of March 31, 2025, the Fund's most recent fiscal year end, the Fund did not have a liability for any unrecognized tax benefits. The Fund recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statement of Operations. During the year ended March 31, 2025, the Fund's most recent fiscal period end, the Fund did not incur any interest or penalties.
The Fund utilizes a tax year-end of March 31 and the Fund's income and federal excise tax returns and all financial records supporting returns will be subject to examination by the federal and Delaware revenue authorities.
H. Indemnifications
Under the Fund's organizational documents, its officers and Trustees are indemnified against certain liabilities arising out of the performance of their duties to the Fund. In addition, in the normal course of business, the Fund may enter into contracts that provide general indemnification to other parties. The Fund's maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred and may not occur. However, the Fund has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.
3. Investment Transactions
For the period ended September 30, 2025, the Fund purchased (at cost) and sold interests (proceeds) in investment securities in the amount of $47,494,723 and $17,538,025 (excluding short-term securities), respectively.
4. Management Fees, Administration Fees and Custodian Fees
The Fund has entered into an investment advisory agreement with the Adviser. Under the investment advisory agreement, the Fund pays the Adviser a monthly fee, which is calculated and accrued monthly (the "Advisory Fee"), at the annual rate of 1.65% of the Fund's average daily net assets. For the period ended September 30, 2025, the Fund incurred $935,510 in advisory fees under the agreement.
The Adviser and the Fund have entered into an expense limitation and reimbursement agreement under which the Adviser has agreed contractually to waive its management fees and to pay or absorb the ordinary operating expenses of the Fund (including organizational and offering expenses, but excluding interest, dividends, amortization/accretion and interest on securities sold short, brokerage commissions, acquired fund fees and expenses and extraordinary expenses), to the extent that the management fees plus the Fund's ordinary annual operating expenses exceed 1.99% per annum of the Fund's average daily net assets. In consideration of the Advisor's agreement to limit the Fund's expenses, any waiver and reimbursement
15
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
by the Adviser is subject to repayment by the Fund within the three years from the date the Adviser waived or made any reimbursement payment, if the Fund is able to make the repayment (after the repayment amount is taken into consideration) without exceeding the lesser of the expense limitation in place at the time of the waiver or the current expense limitation and the repayment is approved by the Board of Trustees. The expense limitation and reimbursement agreement may not be terminated by the Adviser, but it may be terminated by the Board upon written notice to the Adviser.
As of September 30, 2025, $33,956 of the $35,648 waived organization costs are subject to possible recoupment by the Adviser through January 25, 2027. Expenses, net waived or reimbursed, for the year ending March 31, 2024 in the amount of $53,226 are subject to possible recoupment by the Adviser through March 31, 2027. Expenses, net waived or reimbursed, for the period ending March 31, 2025 in the amount of $401,669 are subject to possible recoupment by the Adviser through March 31, 2028. Expenses, net waived or reimbursed, for the period ending September 30, 2025 in the amount of $20,428 are subject to possible recoupment by the Adviser through September 30, 2028.
The Fund has engaged U.S. Bancorp Fund Services, LLC d/b/a U.S. Bank Global Fund Services, to serve as the Fund's administrator, fund accountant, and transfer agent.
The Fund has engaged U.S. Bank, N.A. to serve as the Fund's custodian.
The Fund has engaged Foreside Fund Services, LLC to serve as the Fund's distributor.
5. Trustees and Officers
The Board has overall responsibility to manage and control the business affairs of the Fund, including the complete and exclusive authority to oversee and to establish policies regarding the management, conduct and operation of the Fund's business. The Board exercises the same powers, authority and responsibilities on behalf of the Fund as are customarily exercised by the board of directors of a registered investment company organized as a corporation. The Trustees who are not affiliated with the Fund or the Adviser are each paid an annual fee of $10,000 plus $2,000 per in-person meeting and $500 per electronic meeting. All Trustees are reimbursed by the Fund for any reasonable expenses incurred attending such meetings. One of the Trustees is an employee of the Adviser and receives no compensation from the Fund for serving as a Trustee.
The officers of the Fund are affiliated with the Adviser. All such affiliated officers receive no compensation from the Fund for serving in their respective roles.
6. Repurchase Offers
The Fund operates as an "interval fund" pursuant to Rule 23c-3 under the 1940 Act. The Board has adopted a fundamental policy that the Fund will make quarterly repurchase offers pursuant to Rule 23c-3 under the 1940 Act, as such rule may be amended from time to time, for between 5% and 25% of the shares of beneficial interest ("Shares") outstanding at net asset value ("NAV"), unless suspended or postponed in accordance with regulatory requirements. Each repurchase pricing shall occur no later than the 14th day after the Repurchase Request Deadline (as defined in the Fund's Prospectus), or the next business day if the 14th day is not a business day. The Fund will not be required to repurchase Shares at a shareholder's option nor will Shares be exchangeable for units, interests or shares of any investment of the Fund. In connection with each repurchase offer, it is possible that the Fund may offer to repurchase only the minimum amount of 5% of its outstanding Shares. It is also possible that a repurchase offer may be oversubscribed, with the result that shareholders may only be able to have a portion of their Shares repurchased. The Fund does not intend to list its Shares in the foreseeable future. The Shares are, therefore, not readily marketable. Even though the Fund will make quarterly repurchase offers to repurchase a portion of the Shares to
16
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
provide liquidity to shareholders, investors should consider the Shares to be illiquid. The Fund's fundamental policy requires the Fund to make repurchase offers every three months. Quarterly repurchases occur in the months of March, June, September, and December. During the period ended September 30, 2025, the Fund completed two repurchase offers:
|
Repurchase |
Repurchase |
NAV on |
Percentage of |
Number of |
Percentage |
Number |
||||||
|
5/30/25 |
6/20/25 |
11.07 |
5.0% |
516,429 |
5.7% |
593,532 |
||||||
|
8/29/25 |
9/19/25 |
11.49 |
5.0% |
575,596 |
4.2% |
488,038 |
7. Risk Factors
The Fund is a closed-end investment company that operates as an interval fund. It is designed for long-term investors and not as a trading vehicle. Unlike many closed-end investment companies, the Fund's shares are not listed on any securities exchange and are not publicly traded. There is currently no secondary market for the shares and the Fund expects that no secondary market will develop. Liquidity is provided to shareholders only through the Fund's quarterly repurchase offers for no less than 5% of the shares outstanding at NAV. There is no guarantee that shareholders will be able to sell all of the shares they desire in a quarterly repurchase offer.
The Fund may be materially affected by market, economic and political conditions globally and in the jurisdictions and sectors in which it invests or operates, including factors affecting interest rates, the availability of credit, currency exchange rates and trade barriers. These factors are outside the Adviser's control and could adversely affect the liquidity and value of the Fund's investments, and may reduce the ability of the Fund to make attractive new investments.
In particular, economic and financial market conditions began to significantly deteriorate around 2007 and early 2020 as compared to prior periods. Global financial markets experienced considerable declines in the valuations of debt and equity securities, an acute contraction in the availability of credit and the failure of a number of leading financial institutions. As a result, certain government bodies and central banks worldwide, including the U.S. Treasury Department and the U.S. Federal Reserve, undertook unprecedented intervention programs, the effects of which remain uncertain. The U.S. economy has experienced and continues to experience relatively high levels of constrained lending. Although certain financial markets have shown some recent signs of the improvement, to the extent economic conditions experienced recently, they may adversely impact the investments of the Fund. Low interest rates related to monetary stimulus and economic stagnation may also negatively impact expected returns on investments in such an environment. Trends and historical events do not imply, forecast or predict future events and past performance is not necessarily indicative of future results. There can be no assurance that the assumptions made or the beliefs and expectations currently held by the Adviser will prove correct, and actual events and circumstances may vary significantly.
The Fund may be subject to risk arising from a default by one of several large institutions that are dependent on one another to meet their liquidity or operational needs, so that a default by one institution may cause a series of defaults by the other institutions. This is sometimes referred to as "systemic risk" and may adversely affect financial intermediaries, such as clearing agencies, clearing houses, banks, securities firms and exchanges, with which the Fund interacts on a daily basis.
In addition, the Fund is subject to the risk that geopolitical and other events will disrupt the economy on a national or global level. For instance, war, terrorism, market manipulation, government defaults, government shutdowns, political changes or diplomatic developments, climate change and climate-related events, public health emergencies (such as the spread of infectious diseases, pandemics and epidemics) and natural/environmental disasters can all negatively impact the securities markets, which could cause the Fund to lose value. The lingering effects of COVID-19 and the aggressive responses taken by many governments, including closing borders, restricting international and domestic travel, and the imposition of prolonged quarantines or similar restrictions, as well as the forced or voluntary closure of, or operational changes to, many retail and other businesses, have had
17
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
negative impacts, and in many cases severe negative impacts, on markets worldwide. It is not known how long such impacts, or any future impacts of other significant events described above, will or would last, but there could be a prolonged period of global economic slowdown, which may negatively impact the performance of the Fund's investments or decrease the liquidity of those investments. Therefore, the Fund could lose money over short periods due to short-term market movements and over longer periods during more prolonged market downturns.
8. Options, Futures, Forward Contracts and Swap Agreements
The Fund may purchase and write put and call options on indices and enter into related closing transactions. All options written on indices or securities must be covered, the Fund will segregate cash and/or other liquid assets in an amount equal to the Fund's obligations. Put and call options on indices give the holder the right to receive, upon exercise of the option, an amount of cash if the closing level of the underlying index is greater than (or less than, in the case of puts) the exercise price of the option. This amount of cash is equal to the difference between the closing price of the index and the exercise price of the option, expressed in dollars multiplied by a specified number. The premium paid to the writer is the consideration for undertaking the obligations under the option contract. The Fund uses call option spreads to capture a portion of positive equity market returns without exposing the Fund to significant equity market losses. The Fund purchasing put and call options pay a premium; therefore, if price movements in the underlying securities are such that exercise of the options would not be profitable for the Fund, loss of the premium paid may be offset by an increase in the value of the Fund's securities or by a decrease in the cost of acquisition of securities by the Fund. When the Fund writes an option, if the underlying securities do not increase or decrease to a price level that would make the exercise of the option profitable to the holder thereof, the option generally will expire without being exercised and the Fund will realize as profit the premium received for such option. When an index call option of which the Fund is the writer is exercised, the Fund will be required to deliver a cash amount commensurate to if they were to sell the underlying securities to the option holder at the strike price and will not participate in any increase in the price of such securities above the strike price. When an index put option of which the Fund is the writer is exercised, the Fund will be required to deliver a cash amount commensurate to if they were to purchase the underlying securities at a price in excess of the market value of such securities. The Fund maintains minimal counterparty risk through contracts bought or sold on an exchange. As of September 30, 2025, the Fund's derivative instruments are not subject to a master netting arrangement.
The average monthly value outstanding of purchased and written options during the period ended September 30, 2025 was $4,005,645 and $1,264,982 respectively.
The following is a summary of the effect of derivative instruments on the Fund's Statements of Assets and Liabilities as of September 30, 2025:
|
Equity Risk Contracts |
Asset |
Liability |
||||
|
Purchased Options |
$ |
4,281,074 |
$ |
|||
|
Written Options |
$ |
$ |
1,139,124 |
|||
The following is a summary of the effect of derivative instruments on the Fund's Statement of Operations for the period ended September 30, 2025:
|
Net Realized Gain (Loss) |
Net Change in Unrealized |
||||||||||||||
|
Purchased |
Written |
Purchased |
Written |
||||||||||||
|
Equity Risk Contracts |
$ |
10,482,254 |
$ |
(4,886,685 |
) |
$ |
(3,478 |
) |
$ |
(1,039 |
) |
||||
18
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
9. Fair Value of Financial Instruments
The Fund has adopted the authoritative fair valuation accounting standards of ASC 820, Fair Value Measurements and Disclosures, which establish an authoritative definition of fair value and set out a hierarchy for measuring fair value. These standards require additional disclosures about the various inputs and valuation techniques used to develop the measurements of fair value and a discussion in changes in valuation techniques and related inputs during the period. These inputs are summarized in the three broad levels listed below.
Level 1 - Quoted prices in active markets for identical securities.
Level 2 - Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
Level 3 - Valuations based primarily on inputs that are unobservable and significant.
The inputs or methodology used for valuing securities are not an indication of the risk associated with investing in those securities.
In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment's level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Valuation Designee's assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the investment. The following section describes the valuation techniques used by the Valuation Designee to measure different financial instruments at fair value and includes the level within the fair value hierarchy in which the financial instrument is categorized.
Investments whose values are based on quoted market prices in active markets are classified within Level 1. These investments generally include equity securities traded on a national securities exchange, registered investment companies, certain U.S. government securities and certain money market securities. The Valuation Designee does not adjust the quoted price for such instruments, even in situations where the Fund holds a large position and a sale could reasonably be expected to impact the quoted price.
Investments that trade in markets that are not considered to be active, but are valued based on quoted market prices, dealer quotations or alternative pricing sources supported by observable inputs, are classified within Level 2. These investments generally include certain U.S. government and sovereign obligations, most government agency securities, and investment grade corporate bonds.
Investments classified within Level 3 have significant unobservable inputs, as they trade infrequently or not at all. These investments generally include private equity investments and less liquid corporate debt securities. When observable prices are not available for these investments, the Valuation Designee uses one or more valuation techniques (e.g., the market approach or income approach) for which sufficient data is available. The selection of appropriate valuation techniques may be affected by the availability of relevant inputs as well as the relative reliability of inputs. In some cases, one valuation technique may provide the best indication of fair value while in other circumstances, multiple valuation techniques may be appropriate. The results of the application of the various techniques may not be equally representative of fair value, due to factors such as assumptions made in the valuation. In some situations, the Valuation Designee may determine it appropriate to evaluate and weigh the results, as appropriate, to develop a range of possible values, with the fair value based on the Valuation Designee's assessment of the most representative point within the range.
The Fund has invested in credit facilities that are either secured by the borrower's assets or are unsecured in nature. The credit facilities have been made directly or through participation with private investment or operating companies. The investments in credit facilities will generally be held at cost subject to certain revisions, such as (i) a material change in interest rates for similar notes or (ii) if the Investment Manager becomes aware of a fundamental change that has not been reflected in the cost. The Fund has determined to value its investments in credit facilities generally at cost although some are above or below cost as of September 30, 2025. Investments in credit facilities are categorized in Level 3 of the fair value hierarchy.
19
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
The Fund values private investment companies using the NAVs provided by the underlying private investment companies as a practical expedient. The Fund applies the practical expedient to private investment companies on an investment-by-investment basis, and consistently with the Fund's entire position in a particular investment, unless it is probable that the Fund will sell a portion of an investment at an amount different from the NAV of the investment. Each of these investments has certain restrictions with respect to rights of withdrawal by the Fund as specified in the respective agreements. Generally, the Fund is required to provide notice of its intent to withdraw after the investment has been maintained for a certain period of time.
The following is a summary of the inputs used to value the Fund's investments as of September 30, 2025. Assets valued using NAV as a practical expedient, an indicator of fair value, are listed in a separate column to permit reconciliation to totals in the Statement of Assets and Liabilities.
|
Fair Value Measurements at Reporting Date Using: |
|||||||||||||||||
|
Quoted Prices In |
Significant Other |
Significant |
Practical |
Total |
|||||||||||||
|
Assets: |
|||||||||||||||||
|
Private Investment Vehicles |
$ |
- |
$ |
- |
$ |
- |
$ |
43,065,322 |
$ |
43,065,322 |
|||||||
|
Loans |
- |
- |
51,055,129 |
- |
51,055,129 |
||||||||||||
|
Loan Participation |
- |
- |
6,670,754 |
- |
6,670,754 |
||||||||||||
|
Profit Share Interest |
- |
- |
6,837,500 |
- |
6,837,500 |
||||||||||||
|
Public Securities |
5,243,148 |
- |
- |
- |
5,243,148 |
||||||||||||
|
Money Market Instruments |
11,004,061 |
- |
- |
- |
11,004,061 |
||||||||||||
|
Purchased Options |
4,281,074 |
- |
- |
- |
4,281,074 |
||||||||||||
|
Total Assets: |
$ |
20,528,283 |
$ |
- |
$ |
64,563,383 |
$ |
43,065,322 |
$ |
128,156,988 |
|||||||
|
Liabilities: |
|||||||||||||||||
|
Written Options |
$ |
(1,139,124 |
) |
- |
- |
- |
$ |
(1,139,124 |
) |
||||||||
|
Total Liabilities: |
$ |
(1,139,124 |
) |
$ |
- |
$ |
- |
$ |
- |
$ |
(1,139,124 |
) |
|||||
Refer to the Schedule of Investments for classifications.
The following table presents the changes in assets and transfers in and out which are classified in Level 3 of the fair value hierarchy for the period ended September 30, 2025:
|
Loans |
Loan |
Profit Share |
||||||||||
|
March 31, 2025 |
$ |
45,249,500 |
$ |
1,850,000 |
$ |
5,865,000 |
||||||
|
Realized gains (losses) |
- |
- |
- |
|||||||||
|
Change in unrealized appreciation (depreciation) |
- |
- |
- |
|||||||||
|
Transfers into Level 3 |
- |
- |
- |
|||||||||
|
Transfers out of Level 3 |
- |
- |
||||||||||
|
Purchases |
15,735,715 |
5,770,754 |
4,832,500 |
|||||||||
|
Sales |
(9,930,086 |
) |
(950,000 |
) |
(3,860,000 |
) |
||||||
|
September 30, 2025 |
$ |
51,055,129 |
$ |
6,670,754 |
$ |
6,837,500 |
||||||
|
Net change in unrealized appreciation (depreciation) attributable to Level 3 investments held at September 30, 2025 |
$ |
- |
$ |
- |
$ |
- |
||||||
20
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
The following table summarizes the valuation techniques and significant unobservable inputs used for the Fund's investments that are categorized in Level 3 of the fair value hierarchy as of September 30, 2025:
|
Investments |
Fair Value |
Valuation |
Unobservable |
Input Value |
Impact on |
||||||
|
Loans |
$ |
51,055,129 |
Market Approach |
Transaction Price |
100 |
Increase |
|||||
|
Loan Participation |
6,670,754 |
Market Approach |
Transaction Price |
100 |
Increase |
||||||
|
Profit Share Interest |
6,837,500 |
Market Approach |
Transaction Price |
100 |
Increase |
||||||
Credit facilities may be structured to be fully funded at the time of investment or include unfunded loan commitments, which are contractual obligations for future funding. As of September 30, 2025, the Fund had unfunded loan commitments to credit facilities of $0.
The following table represents investment categories, unfunded commitments and redemptive restrictions of investments that are measured at NAV per share (or its equivalent) as a practical expedient as of September 30, 2025:
|
Investment Name |
Investment |
Fair Value |
Total |
Redemption |
Redemption |
Lockup |
Gate |
|||||||||
|
Aero Capital Solutions Fund IV LP |
Specialty Finance |
$ |
1,700,352 |
$ |
252,871 |
N/A |
N/A |
7 Years |
N/A |
|||||||
|
BasePoint Income Solutions Evergreen Fund LP |
Specialty Finance |
1,000,000 |
- |
Quarterly |
90 days |
2 Years |
25% Investor Level |
|||||||||
|
Bay Point Capital Partners II, LP |
Specialty Finance |
289,976 |
- |
Quarterly |
30 days |
1 Year |
25% Investor Level |
|||||||||
|
EAJF Leverage Feeder LP |
Specialty Finance |
6,254,536 |
- |
Quarterly |
60 days |
3 Years |
12.5% Fund Level |
|||||||||
|
Coromandel Credit Income Evergreen Fund LP |
Specialty Finance |
9,718,889 |
- |
Quarterly |
90 days |
2 Year |
25% Investor Level |
|||||||||
|
Delgatto Diamond Finance Fund LP |
Specialty Finance |
985,766 |
- |
Monthly |
90 days |
1 Year |
25% Fund Level |
|||||||||
|
HFSA, LLC |
Consumer Lending |
11,020,685 |
- |
Monthly, except for September, October, November and December |
90 days |
N/A |
5% |
|||||||||
|
Monroe Capital Income Plus Corp |
Private Credit |
513,220 |
- |
Quarterly |
180 days |
1 Year |
5% Fund Level |
|||||||||
|
Oak Institutional Credit Solutions, LLC |
Real Estate Debt |
3,713,932 |
- |
Quarterly |
90 days |
1 Year |
Manager Discretion |
|||||||||
|
Revere Specialty Finance Fund LP |
Specialty Finance |
3,356,480 |
- |
Quarterly |
60 days |
2 Years |
N/A |
|||||||||
|
Revere Tactical Opportunities Fund IV |
Real Estate Debt |
1,581,670 |
- |
Quarterly |
60 days |
2 Years |
N/A |
|||||||||
|
Tailor Ridge Real Estate Lending Fund LP |
Real Estate Debt |
2,524,830 |
- |
Quarterly |
90 days |
1 Year |
25% Investor Level |
|||||||||
|
Virage Opportunities Fund |
Litigation Finance |
404,986 |
64,500 |
N/A |
N/A |
N/A |
N/A |
|||||||||
|
Total |
$ |
43,065,322 |
$ |
317,371 |
||||||||||||
21
|
Denali Structured Return Strategy Fund Notes to Financial Statements September 30, 2025 (Unaudited) (Continued) |
10. Federal Income Tax
The tax characterization of distributions paid for the periods ended March 31, 2025 and 2024, were as follows:
|
Distributions Paid from: |
For the Year |
For the Period |
||||
|
Ordinary Income(b) |
$ |
2,957,109 |
$ |
- |
||
|
Long-Term Capital Gains |
938,583 |
- |
||||
|
Return of Capital |
1,407,845 |
- |
||||
(a) Fund commenced operations on March 12, 2024
(b) Ordinary income may include short-term capital gains
At March 31, 2025, the components of distributable earnings (accumulated losses) and the cost of investments on a tax basis, including the adjustments for financial reporting purposes as of the most recently completed Federal income tax reporting year, were as follows:
|
Tax Cost of Investments |
$ |
91,848,325 |
||
|
Unrealized Appreciation |
662,743 |
|||
|
Unrealized Depreciation |
(27,218 |
) |
||
|
Net Unrealized Appreciation/(Depreciation) |
635,525 |
|||
|
Undistributed Ordinary Income |
1,479,857 |
|||
|
Undistributed Capital Gains |
- |
|||
|
Other Accumulated Gain/(Loss) |
(2,074,394 |
) |
||
|
Total Distributable Earnings/(Accumulated Losses) |
$ |
40,988 |
The difference between book-basis and tax-basis unrealized appreciation (depreciation) is attributable primarily to partnerships and closed-end ROC adjustments.
As of March 31, 2025, the Fund did not have an available capital loss carryforward.
Under current tax law, net capital losses realized after October 31, and net ordinary losses incurred after December 31 may be deferred and treated as occurring on the first business day of the Fund's following taxable year. For the tax year ended March 31, 2025, the Fund deferred $2,070,993 of post October losses. The Fund did not defer any late year losses.
U.S. GAAP requires that certain components of net assets relating to permanent differences be reclassified between financial reporting and tax reporting. These reclassifications have no effect on net assets or NAV per share. There were no such reclassifications for the year ended March 31, 2025.
11. Subsequent Events
On November 28, 2025, the Fund announced a quarterly offer to repurchase outstanding shares of beneficial interest up to 5% of its issues and outstanding shares at a price equal to the net asset value as of the close of business on the repurchase pricing date. The repurchase offer date is November 28, 2025 and the repurchase request deadline is December 19, 2025. In preparing these financial statements, management of the Fund has evaluated events and transactions for potential recognition or disclosure through the date the financial statements were issues. Management has determined that other than as disclosed above there are no subsequent events that would need to be recorded or disclosed in the Fund's financial statements.
22
|
Denali Structured Return Strategy Fund Additional Information September 30, 2025 (Unaudited) |
N-PORT
The Fund will file its complete schedule of portfolio holdings for the first and third quarters of each fiscal year with the SEC on Form N-PORT. The Fund's Form N-PORT will be available without charge by visiting the SEC's Web site at www.sec.gov.
Proxy Voting
A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities owned by the Fund and information regarding how the Fund voted proxies relating to the portfolio of securities for the most recent 12-month period ended June 30th are available to shareholders without charge, upon request by calling the Advisor toll free at (800) 251-8112 or on the SEC's web site at www.sec.gov.
Board of Trustees
The Fund's Statement of Additional Information includes additional information about the Fund's Trustees and is available upon request without charge by calling the Advisor toll free at (800) 251-8112 or by visiting the SEC's web site at www.sec.gov.
Forward-Looking Statements
This report contains "forward-looking statements,'' which are based on current management expectations. Actual future results, however, may prove to be different from expectations. You can identify forward-looking statements by words such as "may'', "will'', "believe'', "attempt'', "seem'', "think'', "ought'', "try'' and other similar terms. The Fund cannot promise future returns. Management's opinions are a reflection of its best judgment at the time this report is compiled, and it disclaims any obligation to update or alter forward-looking statements as a result of new information, future events, or otherwise.
23
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Denali Structured Return Strategy Fund
Fund Service Providers
Investment Advisor
Liquid Strategies, LLC
3550 Lenox Road NE, Suite 2550,
Atlanta, GA 30326
Custodian
U.S. Bank, N.A.
1555 N. River Center Drive, Suite 302,
Milwaukee, WI 53212
Transfer Agent
U.S. Bank Global Fund Services
615 East Michigan Street, 3rd Floor,
Milwaukee, WI 53212
Administrator and Accounting Agent
U.S. Bank Global Fund Services
615 East Michigan Street, 3rd Floor,
Milwaukee, WI 53212
Legal Counsel
Thompson Hine LLP
41 South High Street, Suite 1700,
Columbus, OH 43215
| (b) | Not applicable. |
Item 2. Code of Ethics.
Not applicable for semi-annual reports.
Item 3. Audit Committee Financial Expert.
Not applicable for semi-annual reports.
Item 4. Principal Accountant Fees and Services.
Not applicable for semi-annual reports.
Item 5. Audit Committee of Listed Registrants.
Not applicable for semi-annual reports.
Item 6. Investments.
| (a) | Schedule of Investments is included as part of the report to shareholders filed under Item 1 of this Form. |
| (b) | Not applicable. |
Item 7. Financial Statements and Financial Highlights for Open-End Investment Companies.
Not applicable to closed-end investment companies.
Item 8. Changes in and Disagreements with Accountants for Open-End Investment Companies.
Not applicable to closed-end investment companies.
Item 9. Proxy Disclosure for Open-End Investment Companies.
Not applicable to closed-end investment companies.
Item 10. Remuneration Paid to Directors, Officers, and Others of Open-End Investment Companies.
Not applicable to closed-end investment companies.
Item 11. Statement Regarding Basis for Approval of Investment Advisory Contract.
See Item 1(a).
Item 12. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable for semi-annual reports.
Item 13. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable for semi-annual reports.
Item 14. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 15. Submission of Matters to a Vote of Security Holders.
Not applicable.
Item 16. Controls and Procedures.
| (a) | The Registrant's Principal Executive Officer and Principal Financial Officer have reviewed the Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the "Act") as of a date within 90 days of the filing of this report, as required by Rule 30a-3(b) under the Act and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934. Based on their review, such officers have concluded that the disclosure controls and procedures are effective in ensuring that information required to be disclosed in this report is appropriately recorded, processed, summarized and reported and made known to them by others within the Registrant and by the Registrant's service provider. |
| (b) | There were no changes in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting. |
Item 17. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies
The registrant did not engage in securities lending activities during the fiscal period reported on this Form N-CSR.
Item 18. Recovery of Erroneously Awarded Compensation.
(a) Not applicable.
(b) Not applicable.
Item 19. Exhibits.
| (a) | (1) Any code of ethics or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy Item 2 requirements through filing an exhibit. Not applicable. |
(2) Any policy required by the listing standards adopted pursuant to Rule 10D-1 under the Exchange Act (17 CFR 240.10D-1) by the registered national securities exchange or registered national securities association upon which the registrant's securities are listed. Not applicable.
A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)).
(4) Any written solicitation to purchase securities under Rule 23c-1 under the Act sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons. Not applicable.
(5) Change in the registrant's independent public accountant. Provide the information called for by Item 4 of Form 8-K under the Exchange Act (17 CFR 249.308). Unless otherwise specified by Item 4, or related to and necessary for a complete understanding of information not previously disclosed, the information should relate to events occurring during the reporting period. There was no change in the registrant's independent public accountant for the period covered by this report.
| (b) | Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. Furnished herewith. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| (Registrant) | Denali Structured Return Strategy Fund | |
| By (Signature and Title)* | /s/ Adam C. Stewart | |
|
Adam C. Stewart, Principal Executive Officer |
||
| Date 12/3/2025 | ||
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| By (Signature and Title)* | /s/ Adam C. Stewart | |
|
Adam C. Stewart, Principal Executive Officer |
||
| Date 12/3/2025 | ||
| By (Signature and Title)* | /s/ Kathryn Bruckert | |
|
Kathryn Bruckert, Principal Financial Officer |
||
| Date 12/3/2025 | ||
* Print the name and title of each signing officer under his or her signature.
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