1、Direct Lending UpdatePortfolio Valuation and Fund Advisory ServicesWinter 2024FIRST LIENFIRST LIENSOFR+500 bpsMedian Coupon for Newly Issued Loans in Q3 202499.2%Weighted AverageLoan Price10.74%Average Yield1.2%Nonaccrual Rate50.1%Implied Recovery Rate for Loans on Nonaccrual Status-25 bps QoQ-2 bps

2、 QoQ-70 bps QoQ-36 bps QoQ+97 bps QoQSECOND LIENSECOND LIENSOFR+675 bpsMedian Coupon for Newly Issued Loans in Q3 202497.0%Weighted AverageLoan Price13.80%Average Yield$399.0BAggregate Fair Valueof Investments Held inBDC Portfolios26,208Aggregate Numberof Investments Held inBDC Portfolios+25 bps QoQ

3、-44 bps QoQ+3 bps QoQ+$23.8B QoQ+648 QoQ2Source:Advantage Data.9.2%9.0%9.3%8.8%8.6%8.4%8.1%7.8%7.8%7.7%7.8%8.7%10.2%11.3%11.7%11.9%11.9%11.9%11.5%11.4%10.7%11.0%10.9%12.0%11.2%10.7%10.2%9.9%9.5%9.3%9.1%9.2%10.5%12.1%13.7%14.0%14.4%14.3%14.1%13.8%13.8%13.8%6.50%7.50%8.50%9.50%10.50%11.50%12.50%13.50%

4、14.50%15.50%Q319 Q419 Q120 Q220 Q320 Q420 Q121 Q221 Q321 Q421 Q122 Q222 Q322 Q422 Q123 Q223 Q323 Q423 Q124 Q224 Q324First LienSecond LienYields and Spread Continued to Decline3 Refinancing and repricing activity continued the momentum from Q2 2024 as credit spreads across the market landscape tighte

5、ned.In the second half of 2024,the Fed cut the federal funds rate three times for a total 100-basis-point decrease.Declining base rates coupled with tightening are creating pressure on yields.Average first lien yields across BDC portfolios decreased from 11.44%in Q2 2024 to 10.74%in Q3 2024.On a yea

6、r-over-year basis,first lien yields decreased by 120 bps in Q3 2024.Average second lien yields increased marginally from 13.77%in Q2 2024 to 13.80%in Q3 2024.On a year-over-year basis,second lien yields decreased by 45 bps in Q3 2024.Sources:PitchBook and Advantage Data.Notes:Yield is based on repor