As the largest publicly-traded Business Development Company (“BDC”), Ares Capital (ARCC) is not only well-positioned to defend its big dividend (current yield is 9.3%) with spillover capital, but it’s also well-positioned with multiple levers for growth (e.g. conservative balance sheet leverage, fees and plenty of deal flow). And despite the big risks (such as falling rates, spread compression and “hidden” liabilities), the latest earnings announcement suggests it continues to present an attractive valuation for long-term income focused investors. This report shares data on 10 top big-yield BDCs, then reviews the details on Ares and concludes with a strong opinion on investing.