Easy Income Portfolio: March 2025 Update - "Still Clipping Coupons, Still Getting Paid"
EZ Income Portfolio Performance: The EZ Income Portfolio continues to generate substantial income while avoiding the volatility associated with growth stocks, emphasizing the value of stability in income-focused investments.
Market Insights on Credit and Bonds: The bond market shows steady rates with potential cuts anticipated, while high-yield credit spreads remain tight despite emerging risks; investors are advised to focus on quality and avoid risky sectors.
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Analyst Views on BIZD

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- Private Credit Sector: The emergence of private credit "cockroaches" indicates a shift in the market, particularly affecting the software sector.
- Investment Opportunities: This situation may present new investment opportunities in shares of business development companies that hold the debt of these affected companies.

- Private Credit Sector: The private credit sector is facing challenges, likened to "cockroaches" emerging from the software industry.
- Opportunities in Business Development Companies: This situation may present investment opportunities in business development companies that hold the debt of affected firms.

Impact on Business Development Companies: Fresh fears surrounding artificial intelligence are negatively affecting the stock prices of business development companies that provide high-rate, private-credit loans to technology firms.
Effect on Alternative Investment Managers: Alternative investment managers with exposure to private credit are also experiencing declines due to these AI-related concerns.
- BlackRock TCP Capital's Expectations: The private-credit fund anticipates a decline in its net asset value for the fourth quarter.
- Market Implications: This expected decrease may signal potential concerns within the private credit market.

- Bond Market Performance: The bond market experienced its best year since 2020, surprising income investors who were losing hope.
- Future Outlook: Despite some emerging risks, the outlook for the bond market in 2026 remains positive.

- Potential Asset Sale: New Mountain Finance is considering a $500 million sale of assets, which could significantly impact its operations.
- Market Implications: This move is seen as a critical test for the business-development company and the broader private credit market, valued at $1 trillion and currently facing scrutiny.






