Thinking of investing in a business development company (BDC) after the recent media attention surrounding the IPO of Goldman Sachs BDC? You may be missing a key red flag if you’re not analyzing every detail in their 10-K.
Two large risks when investing in BDCs are shareholder dilution and decreased dividends. However, these risks can be minimized by avoiding BDCs that are more likely to take one, or both of these value destroying actions. We analyzed 23 BDC’s and identified several that, due to their current capital structure, pose the biggest threat to your portfolio.
Don’t invest in BDC’s without reading this in depth analysis first.
This report is free to all Institutional members.
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