Analysts dismiss BDC credit quality concerns
Growing private credit worries helped drive losses, but fundamentals are said not to support that view
Private credit’s public face has taken a black eye this year. A January investment in an array of business development companies (BDCs), which lend to small and medium-sized businesses, would have lost investors more than 5% on a total return basis by the latter part of December. The same investment in bank-issued leveraged loans would have seen a total return more than 10 percentage points
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