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2 High Yield BDCs With One Of The Lowest Debt Profiles
FDUSFidus Investment (FDUS) Seeking Alpha·2024-08-24 13:41

olm26250/iStock via Getty Images Since BDCs distribute almost all of its earnings in dividends and employ high amounts of external leverage to fund investments that provide a decent spread from the cost of debt, this specific asset class is quite attractive for high-yield seeking investors. An additional layer, which renders BDCs interesting is that in contrast to pure fixed income securities or preferred shares, where decent yields could be found as well, by investing in BDCs investors can access a slight ...