Blackrock TCP's return on capital deployed is in line with other BDC peers at >12%

(20)
BDC Name Weighted Average Return on Performing Debt (FY24)
BlackRock TCP Capital Corp. 12.4%
FS KKR Capital Corp. 11.3% (accruing debt investments)
Golub Capital BDC, Inc. 12.0% (Investment Income Yield)
Main Street Capital Corp. 12.5% (LMM Debt), 8.5% (MM Debt), 9.6% (Private Loan Debt)
Ares Capital Corporation 9.9% (debt and other income producing securities funded during the period)
Owl Rock Capital Corporation 11.5% (accruing debt and income-producing securities at fair value, as of Sep 30, 2024)
Follow Ups

Put all notes in notes below table. For main street - can you pick the yield number that is closest comparable to blackrock tcp since that is what I am trying to compare

(21)

Here is the weighted average return on performing debt for major Business Development Corporations (BDCs) for Fiscal Year 2024:

BDC Name Weighted Average Return on Performing Debt (FY24)
BlackRock TCP Capital 12.4%
Main Street Capital 13.9%
Ares Capital Corporation 11.2%
Golub Capital BDC 12.3%
Owl Rock Capital 12.4%

Notes:

  • BlackRock TCP Capital (TCPC): The weighted average annual effective yield of their debt portfolio as of December 31, 2024, was approximately 12.4%.
  • Main Street Capital (MAIN): As of December 31, 2024, 95.4% of their private loan portfolio was invested in first lien debt investments. The implied weighted average effective yield for their private loan portfolio for FY2024 is approximately 13.9%, calculated from their total investment income from private loan investments of $283.6 million divided by the average private loan portfolio at cost of $2.035 billion for FY2024 (derived from $2.0 billion as of Dec 31, 2024 and $2.07 billion as of Dec 31, 2023). This figure is considered comparable to TCPC's focus on senior secured debt. Main Street's total investment income for FY24 was $541.0 million.
  • Ares Capital Corporation (ARCC): The weighted average yield on debt and other income-producing securities at amortized cost for the year ended December 31, 2024, was 11.2%.
  • Golub Capital BDC (GBDC): The weighted average yield on income-producing assets as of Q2 2024 was 12.3%. The fiscal year for GBDC ends on September 30. Their investor presentation indicates a weighted average effective yield on the performing debt portfolio of 12.3% as of June 30, 2024.
  • Owl Rock Capital Corporation (ORCC): The weighted average effective yield on their performing debt portfolio was

Which of Main Street's loan portfolio is comparable to Blackrock TCP's?

(24)

Here is the weighted average return on performing debt for the major Business Development Corporations (BDCs) for FY24, including BlackRock TCP Capital.

BDC Name Weighted Average Effective Yield on Performing Debt (FY24)
Ares Capital (ARCC) 9.9% - 10.1%
Main Street Capital (MAIN) 12.8%
Owl Rock Capital (ORCC) N/A (see note 1)
FS KKR Capital (FSK) 11.3% (accruing debt) / 10.7% (all debt)
BlackRock TCP Capital (TCPC) 12.4%

Notes:

  1. Owl Rock Capital's publicly available FY24 reports provide effective yields for their various sub-strategies (e.g., technology lending, diversified lending) rather than a single consolidated figure for the entire BDC. As of December 31, 2024, their technology lending strategy's debt investments were approximately 99.1% floating rate.
  2. The weighted average effective yield generally excludes non-accrual and non-income producing loans.

Main Street Capital's "Private Loan" portfolio is comparable to BlackRock TCP Capital's investment focus. Main Street's Private Loan portfolio primarily consists of secured debt investments in private companies, typically with annual revenues between $25 million and $500 million, often originated through strategic relationships with other investment funds. Similarly, BlackRock TCP

Can you give me exposure to non accruals for these players?

(35)
BDC Name Non-Accrual as a % of Total Portfolio (at Fair Value) Non-Accrual as a % of Total Portfolio (at Cost) As of
BlackRock TCP Capital Corp. 4.4% Not specified Q1 2025
FS KKR Capital Corp. 2.1% 3.5% Mar 31, 2025
Golub Capital BDC, Inc. Not specified in search results 1.1% (Non-accrual investments at cost) Q4 2023
Main Street Capital Corp. 0.9% 3.5% Dec 31, 2024
Ares Capital Corporation 1.0% 1.7% Dec 31, 2024
Owl Rock Capital Corporation 0.1% 0.2% Mar 31, 2022

Note: The non-accrual rate for BlackRock TCP Capital Corp. showed a decrease to 4.4% at fair value in the first quarter of 2025 from 5.6% in the fourth quarter of 2024. For FS KKR Capital Corp., non-accruals as of March 31, 2025, were down from 2.2% at fair value and 3.7% at cost on December 31, 2024. Ares Capital Corporation's non-accruals at fair value were 1.0% as of December 31, 2024, compared to 0.6% at the end of 2023. Main Street Capital's non-accruals remained stable at 0.9% of the total investment portfolio at fair value as of December 31, 2024. The most recent specific non-accrual figures found for Owl Rock Capital Corporation are