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Christopher McKown

Chief Financial Officer and Treasurer at Oaktree Specialty Lending
Executive

About Christopher McKown

Christopher McKown (age 43) serves as Chief Financial Officer and Treasurer of Oaktree Specialty Lending Corporation (OCSL) since November 2021; he is a Managing Director at Oaktree responsible for fund accounting and reporting for its Strategic Credit strategy and is a Certified Public Accountant (inactive) with a B.A. in business economics (minor in accounting) from UCLA, previously in KPMG’s audit practice . OCSL’s externally managed structure means McKown receives no direct compensation, equity awards, or options from the company, and executive pay is not tied to company TSR/EBITDA metrics; OCSL is prohibited from issuing equity incentive compensation to officers under the Investment Company Act, with executive compensation paid by Oaktree and an allocable portion reimbursed by OCSL . OCSL’s Securities Trading Policy prohibits short sales and derivative transactions in OCSL stock and permits pledging only with Chief Compliance Officer pre-approval; no officers or directors adopted or terminated Rule 10b5-1 trading plans in FY2024 . McKown’s beneficial ownership is de minimis (less than 1% of shares outstanding), consistent with the externally managed BDC model .

Past Roles

OrganizationRoleYearsStrategic Impact
Oaktree Specialty Lending Corporation (OCSL)Chief Financial Officer & TreasurerNov 2021–presentSenior finance leadership for a BDC; officer of fund complex entities .
Oaktree Strategic Income II, Inc. (OSI2)Chief Financial Officer & TreasurerJan 2022–Jan 2023CFO/Treasurer of adviser-managed BDC prior to merger integration .
Oaktree Strategic Income II, Inc. (OSI2)Assistant TreasurerJul 2018–Jan 2022Treasury and reporting support for adviser-managed BDC .
OCSLAssistant TreasurerOct 2017–Nov 2021Treasury/reporting support before CFO appointment .
Oaktree Specialty Lending Corporation (OCSI)Assistant TreasurerOct 2017–Mar 2021Treasury/reporting support ahead of OCSI merger into OCSL .
Oaktree Capital ManagementManaging Director (Strategic Credit)2011–presentLeads fund accounting/reporting for Strategic Credit strategy .
KPMG LLPAudit practicePre‑2011Audit background; foundational technical accounting skills .

External Roles

OrganizationRoleYearsStrategic Impact
Oaktree Strategic Credit Fund (OSCF)Chief Financial Officer & TreasurerDec 2021–presentOfficer of continuously offered BDC in the fund complex .
Oaktree Gardens OLP, LLC (OLPG)Chief Financial Officer & TreasurerFeb 2023–presentOfficer of private BDC in the fund complex .
Oaktree Capital ManagementManaging Director2011–presentOversees fund accounting/reporting for Strategic Credit strategy .

Fixed Compensation

OCSL does not directly compensate executive officers; compensation is paid by Oaktree, and OCSL reimburses an allocable portion of CFO/CCO and support staff costs at cost (no markup) under the Administration Agreement . The Compensation Committee reviews and approves reimbursement of these allocable compensation costs .

MetricFY 2023FY 2024
Allocable compensation incurred by Oaktree Administrator for CFO/CCO/support ($USD)$1.3 million $1.5 million
Amount reimbursed by OCSL ($USD)$0.9 million $1.1 million

Notes:

  • Executives do not receive direct salaries, bonuses, or equity awards from OCSL due to BDC regulatory constraints .
  • Administration Agreement provides for reimbursement at cost for CFO/CCO/staff and allocated overhead (rent at market rates; termination rights upon 60 days’ notice) .

Performance Compensation

ItemStatus/Terms
Equity incentives (RSUs/PSUs/Options)Prohibited for officers under the Investment Company Act; OCSL cannot issue equity incentive compensation or options to officers .
Cash bonus at companyNot applicable; executives are compensated by Oaktree; no direct cash bonus disclosed by OCSL .
Performance metrics tied to payNot disclosed by OCSL; pay-for-performance is managed by Oaktree, not OCSL .
10b5‑1 trading plansNone adopted/terminated by officers/directors in FY2024 .
Hedging/derivativesProhibited; no short sales or derivatives in OCSL stock allowed under policy .
PledgingPermitted only with Chief Compliance Officer pre‑approval .

Equity Ownership & Alignment

HolderShares Beneficially OwnedOwnership % of Shares Outstanding
Christopher McKown (Jan 5/6 record dates)5,655 (as of Jan 5, 2024) ; 6,405 (as of Jan 6, 2025) <1% in each year (denoted by “*”)

Additional alignment policies:

  • Director stock ownership guidelines exist (holding stock equal to prior year compensation), but no executive ownership guidelines are disclosed; executives are prohibited from receiving equity compensation from OCSL .
  • Pledging is only permitted with pre‑approval; no specific pledging disclosures for McKown are provided .

Employment Terms

TermDisclosure
EmployerOaktree (executive pay is set/paid by Oaktree or affiliates; OCSL reimburses allocable costs) .
Employment agreement with OCSLNot applicable; OCSL does not directly employ/compensate executive officers .
Severance / change‑of‑controlNot disclosed by OCSL for executives; OCSL does not directly compensate officers .
ClawbackNot disclosed; Code of Business Conduct and Joint Code of Ethics in place; no clawback terms specified for executives .
Non‑compete / non‑solicitNot disclosed by OCSL for executives .
Governance oversight of payCompensation Committee reviews and approves reimbursement of allocable compensation for CFO/CCO and non‑investment professionals .

Governance & Committees Relevant to CFO Oversight

  • Compensation Committee: Reviews and approves OCSL’s reimbursement of allocable compensation for CFO/CCO/staff; chaired by Craig Jacobson; all independent directors .
  • Audit Committee: Oversees accounting/financial reporting, internal controls, valuation; chaired by Deborah Gero, designated audit committee financial expert .
  • Securities Trading Policy: Prohibits short sales/derivatives; permits pledging with pre‑approval; no Rule 10b5‑1 plans adopted/terminated in FY2024 .

Investment Implications

  • Pay-for-performance signal muted: As an externally managed BDC, McKown’s compensation and incentives are determined by Oaktree, with no OCSL equity/option awards or company-level TSR/EBITDA incentive linkage—reducing direct alignment levers typically used in public companies .
  • Insider selling pressure appears low: No Rule 10b5‑1 plans in FY2024 and trading policy restrictions (no shorts/derivatives, pledging only with pre‑approval) limit opportunistic selling mechanics, though small personal ownership (<1%) limits “skin‑in‑the‑game” alignment .
  • Governance oversight exists but reimbursement-based: The Compensation Committee’s role is confined to approving reimbursement of allocable compensation rather than setting executive pay structures, reflecting limited board control over executive incentives .
  • Cross‑platform responsibilities: McKown’s CFO/Treasurer roles across OSCF and OLPG emphasize Oaktree platform integration; while positive for operational execution, compensation/retention dynamics reside at the adviser level, not OCSL’s proxy-specified programs .

Bottom line: Traditional executive trading and pay-for-performance signals are structurally limited by OCSL’s externally managed BDC model; investors should focus on adviser economics, reimbursement trends, governance policies, and McKown’s cross‑platform execution rather than equity-based incentives or sell‑pressure indicators .