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Strategies & Market Trends : Value Investing

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Jurgis Bekepuris
To: Elroy who wrote (52656)10/29/2013 11:59:46 PM
From: Spekulatius1 Recommendation   of 78774
 
>>How does the BDC sector go belly up?<<

It's a confluence of several factors like their own financing costs going up, the loans that they madd going bad and in some cases they bump against leverage limits, which forces them to dilute their shareholders at the bottom.
Last not least, the investors those BDC throw in the towel and sell those shares cheaper than the poorer fundamental conditions warrant.
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