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40% of U.S. workers have saved
less than $25,000 for retirement.*

*2019 Retirement
Confidence Survey, EBRI

Only 42% of Americans know how
much money to save for retirement.*

*2019 Retirement Confidence Survey, EBRI

43% of retirees left
the workforce earlier
than planned.*

*2019 Retirement
Confidence Survey, EBRI

Non-Traded Business Development Companies (BDCs):

A business development company, or BDC, is a company that invests primarily in the debt or equity of private American companies and has elected to be regulated by certain provisions under the Investment Company Act of 1940. A BDC combines the capital of many investors to own or finance a portfolio of operating businesses. The BDC structure was created in 1980 by Congress to encourage capital investment into privately owned American Businesses. At that time, there was a perceived constraint on the supply of credit to small and mid-sized companies.

A BDC primarily holds debt and equity positions in these companies, and aims to pass through at least 90% of interest payments and dividends (after expenses) to investors. While all BDCs are public investment vehicles registered with the SEC, individual BDCs can choose to be either traded or non-traded Additionally, a BDC may provide capital appreciation, lower volatility and lower correlation to stocks.

 

There is no guarantee that the Business Development Company (BDC) will achieve its investment objectives. Investing in private equity and private debt is subject to significant risks and may not be suitable for all investors. These risks may include limited operating history, uncertain distributions, inconsistent valuation of the portfolio, changing interest rates, leveraging of assets, reliance on the investment advisor, potential conflicts of interest, payment of substantial fees to the investment advisor and the dealer manager, potential illiquidity and liquidation at more or less than the original amount invested.