A projected slowdown in growth means investors need to look beyond core fixed income to generate improved performance from their income investments. Read this article from Chief U.S. Economist Lara Rhame to learn more.
The U.S. middle market is comprised of nearly 200,000 businesses and accounts for more than 47 million jobs. If ranked as a country, the U.S. middle market would represent the world’s third-largest economy. Despite its size and importance to the economy, many investors have had limited access to investing in middle market companies.
A prolonged period of low interest rates has made it difficult for investors to find investments that provide a high level of current income. At the same time, in the face of sweeping regulatory changes, many banks have reduced or eliminated lending to private U.S. middle market companies. Business development companies (BDCs) have emerged as both an alternative source of income and diversification for investors and a timely source of capital for private U.S. middle market companies.