Prospect Capital Corp

  • Look to Business Development Companies For Yield and Growth

    By Bob Ciura - June 26, 2013 | Tickers: AINV, MAIN, PSEC

    BDC’s, or Business Development Companies, provide a wide range of financial services, often to lower and middle market companies. Many of them charge fixed interest rates for services including debt and equity investments, or buyout transactions. It’s reasonable to think of these companies as similar to private equity firms.

    While these businesses might not be familiar to all investors, they have qualities that should be appealing to nearly more »

  • 3 Private Equity Value Stocks for You

    By Jacob Wolinsky - June 23, 2013 | Tickers: FIG, OAK, PSEC

    U.S. equity markets are down after the Federal Reserve chief made it clear that its bond buying program will slow. Meanwhile, concerns about shrinking manufacturing in China failed to offer any help to markets.

    This scenario cannot be seen as a positive for equity markets but it doesn't mean you should stop investing in the markets.  Private equity firms appear to be cheap and profitable. Don't believe more »

  • Get Paid Like a Private Equity Partner

    By Ken McGaha - April 28, 2013 | Tickers: AINV, ARCC, FSC, PSEC

    Private equity investments are usually restricted to people who have a high net worth due to the perceived high level risk and complexity of the investments -- they can also be quite lucrative. For those of us lacking the funds and expertise to participate directly in private equity transactions, one market sector allows small investors to participate. These businesses fall into a classification called business development companies (BDCs) and they provide more »

  • Risk-Takers Who Love Dividends Should Consider BDCs

    By Bob Ciura - April 6, 2013 | Tickers: MAIN, PSEC, TCAP

    BDC’s, or Business Development Companies, provide a wide range of financial services, often to lower and middle market companies. Many of them charge fixed interest rates for services including debt and equity investments, or buyout transactions. It’s reasonable to think of these companies as similar to private equity firms.

    While these businesses might not be familiar to all investors, they have qualities that should be appealing to nearly more »

  • 3 Small Caps With Big Payouts

    By Robert Zimmerman - March 11, 2013 | Tickers: CLMT, PSEC, VNR

    They say good things come in small packages.  Regarding dividends, that can very much be the case. As investors in General Electric and Exelon have discovered, big companies don't always produce beautiful income. Below are three firms that have market caps less than $3 billion, yet yield more than 7%.

    Small refinery business
    Calumet Specialty Products (NASDAQ: CLMT) primarily refines crude oil into diesel and gasoline.  Beyond that, Calumet more »

  • Two Top-Yielding BDCs to Consider Buying

    By Alex Bastardas - February 28, 2013 | Tickers: PNNT, PSEC

    Registered under the Investment Company Act of 1940, Business Development Companies (BDCs) are essentially publicly-traded private equity firms that generally invest in small, upcoming businesses. Just like REITs or MLPs, if these companies meet certain requirements and distribute a very large percentage of their taxable income to their shareholders, they are exempt from paying corporate income tax. This usually means that the dividend yields for BDCs tend to be much more »

  • Small PE Companies: High Yield Exposure to Smaller Companies

    By Adam Jones - February 5, 2013 | Tickers: AINV, BKCC, GAIN, PSEC, TCAP

    There is a booming market for investments in smaller private companies which are very lucrative.  There are numerous publicly traded companies currently focused on finding small companies to invest in.  These companies’ investments can yield anywhere from 8% to 15% per year.  This return is often paid out to shareholders in the form of large dividends.  The large dividends can result in a substantial total return over long periods of more »

  • BDC's: What Am I Buying?

    By Spencer Houlihan - February 1, 2013 | Tickers: AINV, GLAD, PSEC

    Investors are attracted to the relative high dividend yields and potential capital appreciation of Business Development Companies, or BDC's for short.  BDC's were created by Congress in the 1980's to promote private equity investments in middle-market private companies and small capitalization public companies.  BDC's qualify for favorable taxation in a manner similar to that of REIT's, and must pay 90% of income in order to more »

  • Two Automatic Money Makers

    By Dave Dice - January 30, 2013 | Tickers: PSEC, SUI

    Anything automatic or predictable seem to be impossible to find lately.  I certainly can't predict the political landscape and decision making, nor did I predict the Super Bowl matchup--Baltimore Ravens and San Fransisco 49ers--really?

    Two stocks that have been automatic in my portfolio, for you dividend lovers, are Prospect Capital Corp (NASDAQ: PSEC) and Sun Communities Corp (NYSE: SUI).  One pays a quarterly dividend of $.63 and the other more »

  • 13 for '13: Thirteen Market-Beating Investments for the New Year (Part 2 of 3)

    By Jeff Ross, MD - January 4, 2013 | Tickers: CAT, CSCO, HCSG, PSEC, SBUX

    With the so-called "fiscal cliff" finally averted, politicians and talking heads will now turn their attention to the debt ceiling crisis, Europe's probable recession, France's renewed socialism, Ben Bernanke's money printing policies, or any number of worrisome things.  

    In light of these concerns, how should you (the investor) respond in the new year?  Like this: Look for great, shareholder-friendly companies selling at good prices and consider alternative more »

  • Capital Growth with Dividend: Our Top Picks

    By Shas Dey - December 4, 2012 | Tickers: PVD, KFN, ORI, PSEC

    Profit motivates investors, doubtless; however, the form of profit varies from stock to stock, and investors have their preference for one form over another. One may look for capital appreciation, while another may prefer to get their profits on a periodical basis in the form of dividends. Such preference may have various reasons behind it. Younger investors with a longer investment horizon may opt for capital growth while a relatively more »

  • No Bankruptcy in Retirement, I Hope

    By Robert Zimmerman - December 3, 2012 | Tickers: AINV, EPB, PAA, PSEC

    After celebrating my birthday recently, a certain reality hit home: I have to start thinking more seriously about my retirement.  Reading the executive summary for Social Security reveals I’m looking at a 16% cut in my benefits.  Social Security cuts may be off the table during “fiscal cliff” negotiations,  but one thing is clear: I’m not going to do as well as my father when it comes to more »

  • Small Companies, Big Returns

    By Robert Zimmerman - November 14, 2012 | Tickers: AINV, MAIN, PSEC

    Imagine investing in Microsoft or Apple before they went public.  Pleasant thought, huh?  Who wouldn’t want to be in on the ground floor of a growing company with a groundbreaking idea or product?  For venture capitalists, it’s how they make their living.  Fortunately, in 1940 Congress opened the door for small investors to join the venture capital game.

    Private Equity Results for the General Public

    With the Investment more »

  • Good Dividends From These Asset Managers

    By Chris Hodge - November 14, 2012 | Tickers: FII, OAK, PSEC, TCAP

    Asset management companies are a funny bunch. Their purpose is to invest people's savings for maximum profit, but I've found that you can also invest in the companies themselves like you can with other businesses. It's a little weird to think about, but I guess it's the same as investing in a casino. You don't get paid when any particular gambler loses, but you do more »

  • Would You Trust Your Retirement to These Companies?

    By Chris Hodge - November 14, 2012 | Tickers: ACAS, BLK, BKCC, PSEC

    It was a trip when I first realized how meta I could get with my investments. I can literally invest in companies where their sole purpose was to tend to investor dollars. While this is pretty crazy, it also makes me wonder about who these companies are most committed to: the investors whose hard-earned dollars they manage, or the investors who own a share of the company and... well, the more »

  • 2 Financial Stocks to Buy Today

    By Chad Henage - November 13, 2012 | Tickers: AINV, EV, PSEC, WDR

    I'm always on the lookout for new investment opportunities. To find these ideas, many times I stop by the Fool.com CAPS Screener to try and separate the winners from the losers. Having worked in the financial services industry, I always look for up and coming companies in this segment of the market. Mid-cap. companies can be attractive options as they are not as well followed, yet they have plenty of room for growth. To make sure I find companies that are growing, I asked for stocks in this field that showed at least 10% revenue growth, and at least 20% EPS growth over the last three years. There were two companies that met these criteria that looked like good options at the current time.

  • 5 Small-Cap Dividend Plays for Risk-Embracing Investors

    By Meena Krishnamsetty - November 2, 2012 | Tickers: AINV, MPW, PDLI, PSEC, VGR

    Mutual funds and exchange-traded funds (ETF) that focuses on dividend stocks can be good sources of ideas about attractive high-yield or high dividend-growth plays. One such ETF is WisdomTree SmallCap Dividend Fund (DES), which invests exclusively in the small-capitalization segment of the US dividend-paying market. The ETF invests in the small-cap companies that “compose the bottom 25% of the market capitalization of the WisdomTree Dividend Index, after the 300 largest more »

  • An Insider Likes This Private Capital Firm

    By Meena Krishnamsetty - September 13, 2012 | Tickers: ACAS, NLY, AINV, CIM, PSEC

    Prospect Capital (NASDAQ: PSEC) invests equity capital and debt capital in private and public companies with enterprise values of up to $250 million across all sectors with a focus on North American energy and industrial companies. It typically makes a secured loans to portfolio companies that allow Prospect Capital some upside as well in the form of equity. Brian Oswald, who serves as the company’s CFO and CCO, purchased more »

  • Why I’m Skeptical Of These Three Massive Dividends

    By Matthew DiLallo - September 11, 2012 | Tickers: NLY, PSEC, SDRL, RIG, WFC

    I like big dividends, who wouldn’t?  Too much money seems to exit my bank account on a daily basis so that when money is coming back, I say the more the merrier.  However, not all dividends are created equal and an unusually high dividend yield can be a sign that something’s amiss.  So, before I commit capital to a stock based on their yield it’s got to more »

  • Triangle Capital Vs Prospect Capital - Scorecard

    By Chad Henage - May 3, 2012 | Tickers: PSEC, TCAP

    If you already own a company, it always makes sense to watch that company's competition. This makes sense not only to ensure you know what competitive threats are on the horizon, but also because sometimes the competitor might be a better investment. This is what brings me to compare Triangle Capital Corporation (NYSE: TCAP) and Prospect Capital Corporation (NASDAQ: PSEC). I already own Triangle Capital, and I recently read an article by fellow fool Selena Maranjian that detailed the hefty dividends in small asset managers. Prospect pays a dividend that is similar to Triangle Capital, and that is what attracted me to TCAP in the first place. Both companies invest in the small to middle market in lending and equity positions. I'm curious to know which of the two companies is the better investment.