What This Dashboard Tracks
The Private Credit Monitor aggregates key performance metrics from Business Development Companies (BDCs) — the primary publicly-reporting vehicles for institutional direct lending in the U.S. BDCs are regulated under the Investment Company Act of 1940 and are required to file quarterly and annual reports with the SEC on Form 10-Q and 10-K, providing one of the most transparent windows available into private credit market conditions.
Key Metrics
Weighted Average Yield on Debt Investments: Reflects the income generating capacity of BDC loan portfolios, including the effect of base rate movements (SOFR) and credit spread levels. Rising base rates have mechanically increased portfolio yields for floating-rate-dominated BDC portfolios.
Non-Accrual Rate: The percentage of investments on non-accrual status (where cash interest is no longer recognized in income due to credit concerns). An increase in this metric is an early warning indicator of credit quality deterioration.
Debt-to-Equity Leverage: BDCs are permitted under the Investment Company Act (as amended by the Small Business Credit Availability Act of 2018) to operate at up to 2:1 debt-to-equity leverage. Higher leverage amplifies returns in performing environments and losses in stress scenarios.
Net Asset Value per Share: The book value of BDC equity per share, reflecting cumulative mark-to-market and realized gains and losses on the portfolio. NAV trends across the BDC universe provide a market-based assessment of private credit portfolio quality.
Data Sources
All metrics are drawn from publicly available SEC EDGAR filings (Form 10-Q and Form 10-K). No proprietary or third-party data is required.
Sources: SEC EDGAR BDC Filings; Investment Company Act of 1940; Small Business Credit Availability Act of 2018; Federal Reserve Z.1 Financial Accounts.