Fund Description: PennantPark Floating Rate Capital Ltd is an exchange-traded closed-end fund or a closed-end ETF that is officially described as a non-diversified, closed-end management investment company and that has elected to be treated as a business development company under the Investment Company Act of 1940. <p> INVESTMENT OBJECTIVE: The fund's investment objective is to seek current income. <p> FUND STRATEGY: The fund will seek to achieve their investment objective by investing primarily in floating rate loans made to private middle-market companies whose debt is rated below investment grade. They may also invest in thinly traded or small market-cap public middle-market U.S. companies. Floating Rate Loans are typically rated below investment grade. Securities rated below investment grade are often referred to as “leveraged loans” or “high yield” securities or “junk bonds” and are often higher risk compared to debt instruments that are rated above investment grade and have speculative characteristics. However, when compared to junk bonds and other forms of non-investment grade debt, Floating Rate Loans typically have more robust capital-preserving qualities, such as less credit risk, and have historically had lower default rates than junk bonds. Floating Rate Loans are typically the most senior source of capital in a borrower’s capital structure and often have certain of the borrower’s assets pledged as collateral. Floating Rate Loans feature rates that reset regularly, maintaining a fixed spread over the London InterBank Offered Rate (“LIBOR”) or the prime rates of large money-center banks. Floating Rate Loans typically have terms of three to ten years. Floating Rate Loans are typically made to U.S. and, to a limited extent, non-U.S. corporations, partnerships and other business entities which operate in various industries and geographical regions. Under normal market conditions, at least 80% of the value of our “Managed Assets,” which means our net assets plus any borrowings for investment purposes, will be invested in Floating Rate Loans.<p> FUND MANAGEMENT: The fund's investment adviser is PennantPark Investment Advisers, and PennantPark Investment Administration provides the administrative services necessary for the fund to operate.