10% Yield, 16% Discount, Special Dividends In 2022

BDCs invest in privately held companies, offering retail investors access to a part of the market that's normally the domain of venture capital and private equity companies. This stock yields 10.42%, with an 8.36% 5-Year Dividend Growth Rate. Management declared special dividends for Q1-Q3 2022. It is selling at a 16.42% Discount to NAV/Share.

If you're looking for high yield at a discount, you may want to take a look at Crescent Capital BDC (NASDAQ:CCAP). It's a Business Development Company, a "BDC". CCAP is focused on originating and investing in the debt of private middle-market companies which are also supported by sponsors. This gives CCAP some insulation in rough times, such as the pandemic, since those sponsors usually offer support to these companies. Its holdings are mainly in the US, with 6% in Europe and 3% in Canada. We began covering CCAP in January 2021. Since then we've had a pretty good ride, with a total return of 26.91%, with an ~even split between distributions and price gains.

Source: Seeking Alpha

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