2023-03-25 09:09:26 ET
Summary
- Ares Capital is an attractive 11.2% yield BDC but currently faces market-cycle risks, including fallout from the recent Silicon Valley Bank failure.
- We review Ares (including its industry exposures and risks) and then compare it to 40 other BDCs, including four with particularly heavy venture-capital industry exposure: Hercules, TriplePoint, Horizon, and Trinity.
- We conclude with our strong opinion about investing in BDCs right now, especially Ares Capital and VC-focused BDCs in particular.
For further details see:
Ares: 40 Big-Yield BDCs, Silicon Valley Bank Fallout