KBRA Releases Research – Fourth-Quarter 2023 Business Development Company (BDC) Ratings Compendium
KBRA releases its Business Development Company Ratings Compendium, which looks at results for the quarter ended December 31, 2023, and offers a review of perpetual continuously offered non-traded BDCs as well as recent industry developments.
- KBRA releases its Business Development Company Ratings Compendium, which looks at results for the quarter ended December 31, 2023, and offers a review of perpetual continuously offered non-traded BDCs as well as recent industry developments.
- The performance of KBRA-rated BDCs remained stable in 4Q23 with solid credit metrics, including comfortable liquidity considering near-term maturities, low non-accruals, and appropriate leverage overall.
- KBRA will be monitoring BDC’s non-accrual rates and other signs of portfolio stress, as most underlying borrowers only began to experience the full impact of rate hikes in late 2023.
- Growth was targeted toward perpetual-life BDCs that raised mostly retail capital and newly formed BDCs that raised significant institutional capital in 2023.