Your experience with BDCL is exactly like mine with PSEC... my ave. cost (fortunately) was just 7.47, but I think my first slug was above $11... and I bought that right before the BDCs were eliminated from indexes and then the commodity bust -- PSEC tanked on that despite only about a 3-5% exposure to oil/ng... the entire sector was snake bit twice in a short time frame... I ended up holding PSEC for several years and actually made out quite well, but I admit to a big, deep sigh when I finally sold it all -- the cap gain plus monthly divvy at an ave. 12-14% annual divvy yield ended up being very good to me... but I also admit, I am legging into MRCC very cautiously... I think the worst is over for now for the BDC sector and it's rate hike exposure is way over hyped, IMO, but...
I spent a long time doing DD on a number of BDCs and finally picked MRCC for its steady growth and good management/execution compared to PSEC especially... never was interested in MAIN simply because while it had such good stuff going for it, seems like it's premium priced compared with less well known, smaller BDCs like MRCC -- which also yields 50% more than MAIN (mostly because of MAIN's reputation, IMO, than anything else -- I'd stack up MRCC's financials and management with MAIN any day and will enjoy a 9+% yield compared to MAIN's 6ish% and with, again IMO, less risk in MRCC... but as usual, time will tell...
I have to say, you've got me interested in revisiting my DD on BDCL... will let you know what I decide... |
