Over US$2bn of loans added to BDC non-accrual status in 2Q24. non-accrual rate ticks up

Over US$2bn of BDC loans were added to non-accrual status in the most recent quarter. In turn, the weighted average non-accrual rate for public and private BDCs combined ticked up to 1.66% in 2Q24. The sectors which saw the most loans placed on BDC non-accrual status in 2Q24 were technology and services. On the other hand, BDC net realized losses trended down, declining to US$375m in 2Q24 from US$536m in 1Q24. Looking at the maturity profile of BDC loans, near-term maturities are relatively limited, with 5% of assets coming due by the end of 2025 and 10% in 2026.