5min chapter

Animal Spirits Podcast cover image

Talk Your Book: CLOs – The Providers of Leverage

Animal Spirits Podcast

CHAPTER

The Stability of Leverage Loan Fund Distributions

Leverage loan funds are a very small part of the loan market, but they get a lot of attention. ECC is paying 14 cents a month in common distributions on a stock that's right now quoted at $11.21 per share. To maintain its RIC status, our tax-free status that ECC itself doesn't pay any tax, we have to pay all of our taxable income out to our shareholders.

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