Dividend Watch: 2 BDCs To Avoid

  • With recession fears rising, BDCs like CION and GECC may face dividend cuts due to economic downturns and potential interest rate declines. CION Investment Corp.'s fundamentals have weakened, with declining net investment income and NAV, raising concerns about its ability to maintain dividends. Great Elm Capital Corp. has shown portfolio growth but faces high leverage and recent income declines, making its dividend sustainability uncertain.