BDC

This Monthly Dividend Stock May be Worth a Look

Fifth Street Finance Corp.(FSC) may be an ideal name for aggressive income investors. This is one of the top business development companies. The consensus price target is $11.50. Investors receive a 10.47% dividend with monthly distributions.  First Call consensus has a buy recommendation with a 2.5 rating. Fifth Street reported net investment income of $0.27 …

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New BDC ETF is a Pure Play on High Yield Income

Market Vectors ETF Trust just launched the Market Vectors BDC Income ETF (NYSE: BIZD), the first exchange-traded fund (ETF) designed to provide pure-play exposure to business development companies (BDCs). BIZD is currently trading at $20.29 and will pay quarterly dividends and annual capital gains.  The initial dividend amount has not been announced yet but the …

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New Listing of Business Development Companies (BDC) for Monthly Income

Business Development Companies (BDCs) allow public shareholders access to portfolios that resemble private-equity funds.  However, BDCs are not for the faint of heart.  Most offer liquidity, income, upside potential, professional management and the opportunity to invest in some attractive areas.  But there are significant risks includinghigh fees, leverage, conflictsof interest and risky underlying investments, to name a …

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2 BDCs Offering Monthly Income at Yields Above 1o%

In yesterdays post, Fitch comfirmed that the business development company’s would remain stable throughout 2011 as recent capital raises and leverage reductions have provided ample investment capital to deploy and improved overall operating flexibility. BDCs lend to and invest in companies in connection with investments by private equity sponsors. Basically, they makes loans at a …

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Outlook for Business Development Companies (BDCs) is Stable for 2011

Fitch Ratings’ outlook for U.S. business development companies (BDCs) is Stable for 2011, as recent capital raises and leverage reductions have provided ample investment capital to deploy and improved overall operating flexibility. Fitch expects portfolio originations to outpace repayments for the full year, should risk-adjusted returns remain attractive in the market, which should support growth …

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Get Monthly Income from Prospect Capital (PSEC)

Prospect Capital Corporation (PSEC) is a financial services company that lends to and invests in middle market privately-held companies. The Company is a closed-end investment company. The Company invests primarily in senior and subordinated debt and equity of companies in need of capital for acquisitions, divestitures, growth, development, project financing and recapitalization. The Company’s investment …

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Let Business Development Companies Pay You Monthly Dividends

This is the third in the investing for monthly income series: get paid by business development companies. A business development company (BDC) is a publicly traded company that lends money to private companies.  BDCs must pay out 90% of their income to avoid paying taxes.  Therefore, BDCs pay out nearly all of their income to …

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