- We discuss Q1 results from GBDC and highlight key income dynamics of the portfolio.
- GBDC outperformed the broader sector in Q1, delivering a 2.6% return and a rise in the NAV.
- Its Adjusted NII was a penny below its Q4 level but on par with Q3. Dividend coverage on this basis is 100%.
- GBDC is well-positioned to grow its income given its string of positive net new investments and its high income beta to rising short-term rates.
- Its defensive stance is also a plus in the current market environment and is one reason we initiated a position in our Core Income Portfolio.
For further details see:
Golub Capital: Initiating A Position In This 8.5%-Yielding BDC