Private Credit Arbitrage Strategy Gains Traction Among Advisors
Advisors are increasingly recommending an arbitrage strategy involving non-traded and listed business development companies (BDCs) as redemption requests in private credit funds rise. The trade involves redeeming from a non-traded BDC at full net asset value (NAV) to invest in a similar, discounted listed fund.
Topics: arbitrage BDCs (Business Development Companies) redemption requests retail investors