Business Development Companies (BDCs)

BDCs make investments in private or thinly-traded public companies in the form of debt or equity capital, with the goal of generating current income and/or capital growth. They are investment vehicles which allow individual investors the opportunity to invest primarily in the debt or equity capital of middle market companies, an investment strategy which has predominantly only been available to institutional and high net worth individuals through private, non-traded vehicles. BDCs afford qualified individual investors the opportunity to invest in this area with the benefit of increased transparency and governance of a public investment.

Other specialty and alternative investments — such as oil & gas partnerships or leasing programs — are available, depending on the investor’s experience, financial profile, risk tolerance, and accredited status.

The presentation of this material is neither an offer to sell nor a solicitation of an offer to purchase any investment or security. These investments are offered by prospectus, which provides detailed information, including investment specifics, fees, and expenses. This material must be read in conjunction with a prospectus in order to fully understand all the implications and risks of an investment. Individual suitability should be determined before purchasing any investment. Some specialized investments are not suitable for all investors; an investment profile will help to determine appropriate portfolio options. A diversified portfolio is no guarantee of safety of principal and investments are subject to fluctuation and possible loss of principal.

An investment in a non-traded BDC is not suitable for all investors, as it is considered speculative and involves a high degree of risk, including the risk of a substantial loss of investment. Because shares are not listed on a securities exchange and no secondary market is expected to develop, it will be difficult to sell shares of a non-traded BDC.