- Among the positives, says the company, is its significant operating cost advantage, with operating costs as a percentage of total assets of less than 1.5% vs. over 3% for other internally-managed BDCs, and more than 3.5% for externally-managed BDCs.
- Presentation slides
- Main Street's (NYSE:MAIN) growing asset management business provides further diversification of income streams without significant increases to operating costs as the company's existing infrastructure is used.
- The company is also positively levered to higher interest rates, with 75% of its debt at fixed rates, and 57% of its debt investments at floating rates. A rise of more than 100 bps in interest rates should provides for a significant increase in NII.
- Scoreboard: Total average annual return - dividends plus the change in book value - since the start of 2010 of 31.5% compares to 12.4% for a broad group of BDCs.