In my mind the NAV only drops when the value of an investment decreases - either because it is marked down (to market) or sold at a loss. We were told today that the NAV dropped from $23 to $22.35-$22.40 but the talk is all about these two big and profitable investments. Am I correct in assuming we are not hearing about the losses that took NAV down, and will we ever hear about them in a conf call or 10-Q etc.? Thanks.
There have to be other write downs to get BV reduced by $.70/shr. They are not telling us what went on non-accrual. The very fact that they reduced the dividend 33% is a very stark statement that they have troubles. DWS was paying in PIK so the cash flow should actually be up ex -DWS since they are paying off debt. I think this is the new dividend for quite some time. Unfortunately, the yield is now lower than the senior fund. I think we will trade down to at least a 9% yield or $18 and a 20% discount to NAV. My worry is that NAV will keep declining. At the same time we have treasury yields moving up and the yield spread has already narrowed. I see no upside and 23% downside. Getting the heck out of this today. $22.80 looks good to me.