Daniel R Moore
Long only, portfolio strategy, value, research analyst

PennantPark Investment - An Irrational Reach For Yield

One of the biggest problems faced by income investors right now is how to invest money with confidence that it will be there when needed, and will actually provide a steady flow of income along the way. The Federal Reserve is strangling the short and intermediate end of the yield curve with Treasury purchases forcing income seeking investors into riskier asset classes.

As a result, currently one of the most demanded income investment assets has become "junk" bonds. Yields in the high yield market have been pushed down to 5% on many issues. One investment vehicle that delivers "junk bond" class assets to investors is the Business Development Corporation, or BDC, which if registered as a Regulated Investment Company, or...

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