Prospect Capital Corporation (PSEC): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

Sumérgete en el plan estratégico de Prospect Capital Corporation (PSEC), una empresa dinámica de desarrollo de negocios que ha forjado un nicho único en préstamos e inversiones en el mercado medio. Con un enfoque sofisticado que combina experiencia financiera, asociaciones estratégicas y estrategias de inversión innovadores, PSEC ofrece a los inversores una vía intrigante para la generación de ingresos diversificada y la exposición a los mercados de crédito no tradicionales. Este lienzo de modelo de negocio presenta los intrincados mecanismos que impulsan el ecosistema financiero de PSEC, revelando cómo la compañía transforma las complejas oportunidades de inversión en un valor potencial para los inversores centrados en los ingresos y las partes interesadas institucionales.

Prospect Capital Corporation (PSEC) - Modelo de negocio: asociaciones clave

Bancos de inversión y firmas de asesoramiento financiero

Prospect Capital Corporation se asocia con varios bancos de inversión para abastecimiento de acuerdos y servicios de asesoramiento financiero:

Pareja	Servicios proporcionados	Volumen de transacción estimado (2023)
Goldman Sachs	Colocación de la deuda del mercado medio	$ 325 millones
Suisse de crédito	Estructuración de préstamos sindicados	$ 276 millones
Raymond James	Aviso de banca de inversión	$ 198 millones

Redes de capital privado y capital de riesgo

PSEC mantiene asociaciones estratégicas con empresas de capital privado:

• Blackstone Group: acuerdos de coinversión
• KKR: colaboraciones de préstamos de mercado medio
• Apollo Global Management: asociaciones de financiamiento de deuda

Proveedores de servicios legales y de cumplimiento

Firma legal	Servicios de cumplimiento	Valor anual del contrato
Skadden, Arps, Slate, Meagher & Flom LLP	Cumplimiento regulatorio	$ 1.2 millones
Kirkland & Ellis LLP	Aviso de Ley de Valores	$985,000

Inversores institucionales y administradores de fondos

Asociaciones clave de inversión institucional:

• Sistema de jubilación de empleados públicos de California (Calpers): compromiso de inversión de $ 125 millones
• Vanguard Group: asignación de cartera de $ 92 millones
• BlackRock: participación de inversión de $ 210 millones

Agencias de calificación crediticia

Agencia	Clasificación	Última fecha de evaluación
Servicio de inversores de Moody's	BA3 (grado especulativo)	15 de diciembre de 2023
Estándar & Pobre	BB- (Grado de no inversión)	22 de noviembre de 2023

Prospect Capital Corporation (PSEC) - Modelo de negocio: actividades clave

Préstamos directos a compañías de mercado medio

A partir del tercer trimestre de 2023, Prospect Capital Corporation administra una cartera de inversiones total de $ 6.4 mil millones, con préstamos directos que representan una parte significativa de su estrategia de inversión.

Categoría de préstamo	Cantidad total de la inversión	Tamaño promedio del préstamo
Préstamos para personas mayores aseguradas	$ 3.8 mil millones	$ 15.2 millones
Préstamos subordinados	$ 1.6 mil millones	$ 8.5 millones

Inversiones crediticias estructuradas

Prospect Capital implementa estrategias de crédito estructuradas en múltiples sectores.

• Inversiones crediticias estructuradas totales: $ 1.2 mil millones
• Sectores cubiertos: atención médica, tecnología, fabricación
• Duración promedio de la inversión: 4-7 años

Gestión de la cartera y evaluación de riesgos

La compañía mantiene un riguroso marco de gestión de riesgos.

Métrica de gestión de riesgos	Porcentaje
Préstamos sin rendimiento	3.2%
Diversificación de cartera	Más de 25 industrias
Rendimiento de cartera promedio	12.5%

Despliegue de capital y asignación

Prospect Capital asigna estratégicamente capital en varios vehículos de inversión.

• Capital total invertible: $ 7.9 mil millones
• Inversiones de deuda: 65%
• Inversiones de capital: 35%

Detección de inversiones y diligencia debida

El proceso de detección integral garantiza la selección de inversión de calidad.

Criterios de diligencia debida	Parámetros de evaluación
Salud financiera	Ebitda> $ 10 millones
Detección de la industria	Historia operativa mínima de 3 años
Tasa de rechazo de inversión	78%

Prospect Capital Corporation (PSEC) - Modelo de negocio: recursos clave

Equipo experimentado de gestión de inversiones

A partir de 2024, Prospect Capital Corporation mantiene un equipo de inversión profesional con la siguiente composición:

Categoría de equipo	Número de profesionales
Ejecutivos de inversión senior	7
Analistas de inversiones	15
Especialistas en gestión de riesgos	6

Base de capital sustancial

Métricas financieras para los recursos de capital de Prospect Capital Corporation:

• Activos totales: $ 2.98 mil millones
• Equidad total de los accionistas: $ 1.62 mil millones
• Valor de activos netos (NAV): $ 8.45 por acción

Cartera de inversiones diversa

Categoría de inversión	Valor de inversión total	Porcentaje de cartera
Préstamos del mercado intermedio	$ 1.45 mil millones	48.7%
Deuda corporativa	$ 687 millones	23.1%
Inversiones de renta variable	$ 532 millones	17.9%

Capacidades avanzadas de análisis financiero

Infraestructura tecnológica para el análisis financiero:

• Software de modelado financiero patentado
• Plataformas de datos del mercado en tiempo real
• Herramientas avanzadas de evaluación de riesgos

Infraestructura robusta de gestión de riesgos

Métricas de gestión de riesgos:

Métrica de gestión de riesgos	Valor actual
Relación de préstamos sin rendimiento	2.3%
Reserva de pérdida de préstamo	$ 87.6 millones
Índice de diversificación de cartera	0.76

Prospect Capital Corporation (PSEC) - Modelo de negocio: propuestas de valor

Alto rendimiento de dividendos para inversores centrados en los ingresos

A partir del cuarto trimestre de 2023, Prospect Capital Corporation informó un rendimiento de dividendos del 13.21%. La compañía ha mantenido constantemente una distribución mensual de dividendos de $ 0.06 por acción.

Métrico de dividendos	Valor
Rendimiento de dividendos actuales	13.21%
Dividendo mensual por acción	$0.06
Dividendo anual por acción	$0.72

Exposición a inversiones de deuda del mercado medio

Al 31 de diciembre de 2023, la cartera de inversiones de Prospect Capital consistía en:

• Valor total de la cartera de inversiones: $ 7.1 mil millones
• Número de compañías de cartera: 124
• Tamaño promedio de la inversión: $ 57.3 millones

Estrategia de inversión diversificada

Sector industrial	Porcentaje de cartera
Servicios comerciales	18.2%
Cuidado de la salud	15.7%
Productos de consumo	12.5%
Industrial	11.3%
Otros sectores	42.3%

Potencial para la generación de ingresos consistente

Para el año fiscal 2023, Prospect Capital informó:

• Ingresos de inversión netos: $ 379.4 millones
• Ingresos de inversión netos por acción: $ 0.88
• Rendimiento total de inversión: 15.6%

Acceso a mercados de crédito no tradicionales

La estrategia de préstamos directos de Prospect Capital se centra en:

• Préstamos para personas mayores aseguradas: 68.3% de la cartera
• Deuda subordinada: 22.7% de la cartera
• Inversiones de renta variable: 9.0% de la cartera

Prospect Capital Corporation (PSEC) - Modelo de negocios: relaciones con los clientes

Información financiera y transparencia regulares

Prospect Capital Corporation presenta informes anuales (Formulario 10-K) e informes trimestrales (Formulario 10-Q) con la SEC, proporcionando una divulgación financiera detallada.

Métrica de informes	Frecuencia	Detalles
Informe anual	Anualmente	Estado financiero integral para el año fiscal 2023
Informe trimestral	Trimestral	Actualizaciones detalladas de rendimiento financiero
Activos totales	A partir del tercer trimestre de 2023	$ 6.2 mil millones

Plataformas de comunicación de inversores

PSEC utiliza múltiples canales de comunicación para la participación de los inversores.

• Sitio web de relaciones con inversores dedicados
• Plataformas de comunicación por correo electrónico
• Línea directa directa de inversores
• SEC EDGAR Sistema de presentación

Gestión de inversiones personalizada

PSEC proporciona estrategias de inversión personalizadas para inversores institucionales e individuales.

Tipo de inversor	Activos bajo administración	Tamaño de inversión promedio
Inversores institucionales	$ 4.8 mil millones	$ 10-50 millones
Inversores individuales	$ 1.4 mil millones	$50,000-500,000

Llamadas de ganancias trimestrales y presentaciones de inversores

PSEC realiza comunicaciones de ganancias regulares con información detallada de rendimiento financiero.

• Frecuencia de llamadas de ganancias trimestrales: 4 veces al año
• Recuento promedio de participantes por llamada: 150-200 inversores
• Duración de presentación: 45-60 minutos

Recursos de relaciones con los inversores en línea

Recursos digitales integrales para información y compromiso de los inversores.

Recurso en línea	Detalles del contenido	Frecuencia de acceso
Sitio web de relaciones con los inversores	Informes financieros, presentaciones, presentaciones de la SEC	Actualizado trimestralmente
Archivos de transmisión web	Llamadas y presentaciones de ganancias grabadas	Disponible permanentemente

Prospect Capital Corporation (PSEC) - Modelo de negocios: canales

Listado de la Bolsa de Valores (NASDAQ)

Símbolo de ticker: PSEC

Intercambio	Fecha de listado	Tapa de mercado
Nasdaq	Abril de 2010	$ 2.17 mil millones (a partir de enero de 2024)

Plataformas de inversión en línea

• Corredores interactivos
• Charles Schwab
• TD Ameritrade
• E*comercio

Accesibilidad digital: Disponible en las principales plataformas de inversión en línea con capacidades comerciales en tiempo real

Redes de asesores financieros

Tipo de red	Alcance estimado	Porcentaje de distribución
Rias independientes	Más de 300 redes	42% de la distribución total
Asesores de Wirehouse	Principales empresas nacionales	33% de la distribución total

Comunicación directa de los inversores

• Transmisión web de ganancias trimestrales
• Reunión anual de accionistas
• Sitio web de relaciones con los inversores
• SEC Presentaciones Transparencia

Empresas de corretaje

Empresa de corretaje	Disponibilidad de negociación	Estructura de comisión
Fidelidad	Comercio completo	Comisión de $ 0
Borde de Merrill	Comercio completo	Comisión de $ 0
Vanguardia	Comercio completo	Comisión de $ 0

Prospect Capital Corporation (PSEC) - Modelo de negocio: segmentos de clientes

Inversores institucionales

A partir del cuarto trimestre de 2023, Prospect Capital Corporation atiende a inversores institucionales con los siguientes profile:

Tipo de inversor	Porcentaje de asignación	Tamaño de inversión promedio
Fondos de pensiones	27.4%	$ 8.3 millones
Dotación	19.6%	$ 5.7 millones
Compañías de seguros	15.2%	$ 6.9 millones

Individuos de alto nivel de red

PSEC se dirige a individuos de alto patrimonio con características de inversión específicas:

• Umbral de inversión mínima: $ 250,000
• Asignación promedio de cartera: 12-15% en inversiones alternativas
• Rango típico de patrimonio neto: $ 5 millones a $ 50 millones

Inversores minoristas centrados en los ingresos

Detalles del segmento de inversores minoristas centrado en los ingresos:

Característica del inversor	Estadística
Rendimiento de dividendos anuales promedio	9.42%
Inversión mínima	$10,000
Composición de inversionista minorista	38.7% de la base total de inversores

Administradores de fondos de jubilación

Inversión del Administrador de fondos de jubilación profile:

• Asignación total a PSEC: 7.3%
• Duración promedio de la inversión: 4-7 años
• Expectativa de retorno ajustada al riesgo: 10-12% anual

Asesores de inversiones

Análisis del segmento de asesores de inversiones:

Tipo de asesor	Porcentaje de cartera de PSEC	Asignación promedio recomendada
Rias independientes	22.6%	3-5% de las carteras del cliente
Asesores de Wirehouse	16.4%	2-4% de las carteras del cliente

Prospect Capital Corporation (PSEC) - Modelo de negocio: Estructura de costos

Tarifas de gestión

A partir del año fiscal 2023, Prospect Capital Corporation pagó tarifas de gestión base del 2% del total de activos anualmente. Las tarifas de gestión total para el año fueron de $ 52.3 millones.

Tipo de tarifa	Porcentaje	Monto anual ($ M)
Tarifa de gestión base	2%	52.3
Tarifa de gestión de incentivos	20% de los ingresos por inversiones netos	18.7

Gastos operativos

Los gastos operativos totales para el año fiscal 2023 fueron de $ 74.6 millones.

• Gastos generales y administrativos: $ 22.1 millones
• Compensación y beneficios: $ 31.5 millones
• Costos de servicio profesional: $ 12.4 millones
• Otros gastos operativos: $ 8.6 millones

Costos de adquisición de inversiones

La transacción de inversión y los gastos de diligencia debida para 2023 totalizaron $ 6.8 millones.

Cumplimiento y gastos regulatorios

Los costos de cumplimiento regulatorio para 2023 ascendieron a $ 4.2 millones.

Categoría de cumplimiento	Costo anual ($ M)
Informes de la SEC	1.7
Auditoría interna	1.3
Cumplimiento legal	1.2

Tarifas de servicio profesional

Las tarifas de servicio profesional para el año fiscal 2023 fueron de $ 15.6 millones.

• Servicios legales: $ 6.2 millones
• Servicios de contabilidad y auditoría: $ 5.4 millones
• Servicios de consultoría: $ 4.0 millones

Prospect Capital Corporation (PSEC) - Modelo de negocios: flujos de ingresos

Ingresos por intereses de la cartera de préstamos

A partir del tercer trimestre de 2023, Prospect Capital Corporation reportó ingresos de inversión totales de $ 70.7 millones. Los ingresos por intereses de su cartera de préstamos constituyeron $ 63.4 millones de este total.

Tipo de inversión	Ingresos por intereses totales	Porcentaje de ingresos totales
Primer gravamen de deuda asegurada	$ 42.3 millones	59.8%
Segundo gravamen de deuda asegurada	$ 18.6 millones	26.3%
Deuda subordinada	$ 9.5 millones	13.4%

Distribuciones de dividendos

Para el año fiscal 2023, Prospect Capital Corporation mantuvo una distribución de dividendos mensual de $ 0.06 por acción. Las distribuciones de dividendos anuales totalizaron aproximadamente $ 72 millones.

Apreciación de capital

Al 31 de diciembre de 2023, el valor razonable total de la cartera de inversiones de PSEC era de $ 2.1 mil millones, con una apreciación neta no realizada de $ 45.3 millones.

Tarifas de gestión de inversiones

Las tarifas de gestión de inversiones para 2023 fueron de $ 24.5 millones, lo que representa el 1.2% del total de activos administrados.

Ganancias realizadas de las ventas de inversión

Las ganancias realizadas de las ventas de inversión en 2023 ascendieron a $ 12.6 millones.

Categoría de inversión	Ganancias realizadas
Inversiones de renta variable	$ 7.2 millones
Inversiones de deuda	$ 5.4 millones

Composición total de ingresos para 2023

• Ingresos de intereses: $ 63.4 millones
• Ingresos de dividendos: $ 72 millones
• Tarifas de gestión de inversiones: $ 24.5 millones
• Ganancias de inversión realizadas: $ 12.6 millones

Prospect Capital Corporation (PSEC) - Canvas Business Model: Value Propositions

You're looking at the core promises Prospect Capital Corporation (PSEC) makes to its investors and borrowers. For investors, the main draw is the high, regular income stream, which is backed by a deliberate shift in asset quality.

High Current Income for Investors with a Dividend Yield Over 20%

Prospect Capital Corporation offers investors a very high current income proposition. As of late 2025, the forward dividend yield was reported at 20.26% as of December 5, 2025, with other recent figures showing yields of 20.19% and over 19%. This high yield is supported by the portfolio's performance, with the portfolio-wide annualized yield for the quarter ended September 2025 reaching 11.8%. The market is pricing this as a 20% return on invested capital based on the forward dividend yield.

Monthly Cash Distributions of $0.045 Per Common Share

The income is delivered consistently on a monthly basis. Prospect Capital Corporation announced monthly common shareholder distributions of $0.045 per share for November, December, and January, maintaining this level through declared payments for October 2025. To date, the company has distributed over $4.6 billion in total, equating to $21.79 per share since its Initial Public Offering.

The key income metrics as of late 2025 are summarized below:

Metric	Value	Date/Context
Forward Dividend Yield	20.26%	As of December 5, 2025
Monthly Distribution	$0.045 per common share	Announced for Nov, Dec, Jan
Annual Dividend	$0.54	Annualized amount
Total Cumulative Distributions	Over $4.6 billion	Since Inception

Flexible, Value-Added Capital for Middle-Market Company Growth and Recapitalization

Prospect Capital Corporation positions itself as a provider of crucial capital to the U.S. middle market. The firm is selective, focusing on new investments in companies with less than $50 million of EBITDA, where they see less competition. The total loan volume originated over the company's life stands at $22 billion. For a recent snapshot of deployment, originations during the quarter ended June 30, 2025, totaled $270.9 million.

Focus on Lower-Risk First-Lien Senior Secured Debt for Capital Preservation

A core value proposition is capital preservation through a focus on secured debt. As of September 2025, senior and secured debt made up 85% of the portfolio at cost. Specifically, first-lien senior secured loans comprised 71.1% of the portfolio at cost as of September 2025, up from 51.8% in 2022. New originations during the quarter ending September 2025 reflected this, with 81% being first lien senior secured loans. This focus is supported by historical data showing first lien loans have recovery rates averaging 63.5% in default scenarios. The company has substantially completed its exit from subordinated structured notes, which represented only 0.3% of the portfolio as of September 2025.

The portfolio mix clearly shows this strategic emphasis:

• First Lien Senior Secured Loans: 71.1% (at cost, September 2025)
• Senior and Secured Debt (Aggregate): 85% (at cost, September 2025)
• Subordinated Structured Notes: 0.3% (as of September 2025)

Access to Private Credit and Real Estate Investments for Retail Investors

Prospect Capital Corporation offers access to asset classes typically harder for individual investors to reach directly. Prospect Capital Management L.P., the investment adviser, was named a Top Private Credit Firm of 2025 by GrowthCap. The firm manages a large platform with $9.8 billion of assets under management across credit, private equity, and real estate. The real estate segment, through its National Property REIT Corp (NPRC), represented 14% of investments at cost as of September 2025. This real estate platform invests in U.S. commercial real estate credit, including senior mortgages and preferred equity investments. For context on scale, as of December 31, 2024, Prospect and affiliates had invested in over 32,000 multifamily units with an initial property value of $3.5 billion.

You can see the scale of their diversified offerings here:

Investment Area	Assets Under Management (AUM)	Context
Middle-Market Lending	$5.3 billion	Part of total AUM
Real Estate	$3.0 billion	Part of total AUM
Total AUM (Prospect)	$9.8 billion	Across credit, private equity, and real estate

Finance: review the sustainability of the $0.045 monthly distribution against the Q2 2025 NII of $0.17 per share by next Tuesday.

Prospect Capital Corporation (PSEC) - Canvas Business Model: Customer Relationships

You're managing capital for income-focused investors, so you know that for a Business Development Company like Prospect Capital Corporation, the relationship with the management teams you finance is just as critical as the terms of the loan itself. Prospect Capital Corporation emphasizes a high-touch, long-term approach with the management of its portfolio companies.

This isn't a transactional handshake; it's about deep integration. Prospect Capital Corporation focuses on middle-market companies typically having annual revenues under $750 million and enterprise values under $1 billion. This size often means management teams need more than just a check; they need a partner who understands their specific operational hurdles. The alignment is clear: as of September 30, 2025, the senior management team and employees owned 28.5% of all common shares outstanding, representing about $0.9 billion of common equity at Net Asset Value (NAV). That's a tangible commitment to the long-term success of the portfolio.

For the capital providers-the investors-Prospect Capital Corporation prioritizes transparency and consistent monthly distributions. Income-seeking investors rely on this steady payout. For instance, the company declared monthly cash distributions of $0.0450 per common share for November 2025, December 2025, and January 2026. This commitment to monthly income is a core relationship pillar. To date, through the distribution declared for January 2026, Prospect Capital Corporation will have distributed approximately $4.634 billion in cumulative distributions to all common shareholders. Furthermore, the cumulative paid and declared distributions per common share since inception through September 30, 2025, stood at $21.79. Honestly, for an income investor, that track record speaks volumes about reliability.

The engine for deal flow is the relationship with external capital allocators, meaning direct engagement with private equity sponsors for repeat business. Prospect Capital Corporation has cultivated a deep network here. Since January 1, 2020, through March 31, 2025, they closed 68 middle-market transactions specifically with 56 private equity sponsors. They maintain over 100+ top-tier relationships with PE sponsors, which helps them source over 3,000 actionable investment opportunities annually. This suggests that sponsors trust Prospect Capital Corporation's execution and speed, bringing them back deal after deal.

To keep the investment pipeline funded and maintain this relationship velocity, Prospect Capital Corporation uses programmatic capital offerings for continuous investor access. This keeps their cost of capital competitive and available when needed. They actively use their existing $2.25 billion perpetual preferred stock offering programs, which avoids scheduled maturity risk. Plus, they actively tap the unsecured debt markets; for example, on October 30, 2025, they completed an institutional issuance of approximately $168 million in senior unsecured 5.5% Series A Notes due 2030. As of September 30, 2025, they had $652.2 million of program notes outstanding, laddered out to March 2052. This structure ensures they have the necessary dry powder, with available liquidity reported at $1.52 billion as of that same date.

Here's a quick look at the scale of these key relationships and capital structures as of late 2025:

Relationship/Capital Metric	Data Point (as of late 2025/latest report)
PE Sponsors with Closed Deals (Jan 2020 - Mar 2025)	56
Total Middle Market Transactions Closed (Jan 2020 - Mar 2025)	68
Declared Monthly Distribution (Nov 2025 - Jan 2026)	$0.0450 per share
Cumulative Distributions per Share (Through Sep 30, 2025)	$21.79
Perpetual Preferred Stock Program Size	$2.25 billion
Program Notes Outstanding (As of Sep 30, 2025)	$652.2 million
Total Assets (As of Sep 30, 2025)	$6.64 billion

The focus on these relationships translates into how they manage their liabilities and structure their portfolio. For instance, first lien senior secured loans represented 70.5% of the portfolio as of June 30, 2025, showing a preference for lower-risk engagements with management teams.

• Investor relations emphasize monthly distributions, declared at $0.0450 per share for upcoming months.
• Management and employee ownership stands at 28.5% of common shares, showing strong internal alignment.
• The company has a track record of repaying debt, having repaid approximately $4.7 billion in principal bond obligations across 874 debt tranches over its history.
• They maintain over 100+ top-tier relationships with PE sponsors for deal sourcing.

Prospect Capital Corporation (PSEC) - Canvas Business Model: Channels

You're looking at how Prospect Capital Corporation (PSEC) gets its capital and how it finds the companies it invests in. It's a mix of public markets, programmatic offerings, and direct team efforts.

NASDAQ Stock Exchange for Common Stock (PSEC)

The common stock trades publicly on the NASDAQ-GS exchange. This is a primary route for retail and institutional equity capital. The trading activity reflects market sentiment toward the Business Development Company (BDC) structure.

Here are some recent trading metrics as of late 2025:

Metric	Value
Exchange	NASDAQ-GS
Closing Price (Dec 5, 2025)	$2.67
Market Capitalization (Dec 5, 2025)	$1.26B
Shares Outstanding (Dec 5, 2025)	470.91M
52-Week High	$4.59
52-Week Low	$2.52
Trailing Dividend Yield	20.22%
Annualized Dividend	$0.54

The ex-dividend date for the most recent announced distribution was Nov 25, 2025.

Programmatic Preferred Stock Offerings for Institutional and Retail Investors

Prospect Capital Corporation uses ongoing preferred stock offerings to secure long-term, programmatic capital, avoiding scheduled maturity risk associated with traditional debt. The maximum aggregate liquidation preference for these programs stands at $2.25 billion.

The structure allows for different series tailored to investor preference, such as the 7.50% Series A5 and 7.50% Series M5 announced in early 2025, both paying a 7.5% dividend.

• Series A5 Sales Load: 10% of offering price.
• Series M5 Sales Load: 3% of offering price.
• Total Stockholder Transaction Expenses (Series A5): 11.5%.
• Total Stockholder Transaction Expenses (Series M5): 4.5%.
• Annual Management Fees: 5.5% of net assets attributable to common stock.
• Annual Incentive Fees: 1.82% of net assets attributable to common stock.

The dealer manager, Preferred Capital Securities, has raised $5 billion of capital since its formation in 2011.

Direct Lending and Investment Teams for Portfolio Company Origination

The core origination channel relies on Prospect Capital Management's direct lending and investment teams, focusing heavily on the U.S. middle market. They look for robustly profitable prospective investments, where the average company EBITDA exceeds $100 million.

Portfolio activity for the quarter ended June 2025 shows the channel's output:

Metric	Value
Originations (June 2025 Quarter)	$271 million
Portfolio Companies (June 2025)	97
Aggregate Fair Value of Portfolio (June 2025)	$6.7 billion
First Lien Debt in Portfolio (June 2025)	70.5%
Total Investments Since IPO (through June 30, 2025)	Over $22 billion

The team has invested over $4B across multiple origination strategies since 2004.

iCapital Platform for Reaching Wealth Management Advisors

Prospect Capital Management utilizes the iCapital platform to expand access to its institutional quality Closed-End Fund (CEF) and Business Development Company (BDC) opportunities for financial advisors. This channel leverages a major fintech infrastructure provider.

The scale of the channel partner is significant; iCapital reported over $206 billion+ in global platform assets as of October 31, 2024. Prospect Capital Management reported $11.9 billion of Assets Under Management (AUM) as of November 2024.

• Partnership announced: November 12, 2024.
• Prospect's Regulatory Assets Under Management (as of June 30, 2024): $8.9 billion.
• iCapital tracks $227bn+ in global assets serviced on its private markets platform (Q3 data).

This partnership puts Prospect's private market products directly onto the iCapital Marketplace for advisors.

Prospect Capital Corporation (PSEC) - Canvas Business Model: Customer Segments

You're looking at the core groups Prospect Capital Corporation (PSEC) serves to deploy capital and raise funds. These aren't just abstract categories; they represent real counterparties in complex financing deals.

Retail and institutional investors seeking high-yield income.

• These investors are drawn by PSEC's monthly distributions, such as the declared monthly dividend of $0.045 per common share for November 2025, December 2025, and January 2026.
• The capital base includes multiple series of perpetual preferred equity, institutional bonds, and retail program notes.
• As of September 30, 2025, the Total Equity Capitalization stood at $4.6 billion.
• Since inception through the October 2025 declared distribution, Prospect Capital will have distributed approximately $4.6 billion in cumulative distributions to all common shareholders, equating to $21.66 per share.
• Corporate insiders, a key investor group, owned about 27.98% of the company's stock as of late September 2025.

U.S. middle-market companies (revenues up to $750 million).

This is the primary destination for PSEC's deployed capital. The focus is clearly defined by size and structure.

Metric	Target/Focus (Late 2025 Data)	Data Point Reference
Typical Revenue Range	Less than $750 million annual revenues
Typical Enterprise Value	Less than $1 billion
Typical EBITDA	Up to $150 million (as of September 30, 2025)
Strategy Weight (Middle Market Lending)	84.8% of investments at cost (as of September 30, 2025)
Core Investment Type	71.1% First Lien Senior Secured Loans (based on cost, as of September 30, 2025)

Private equity sponsors needing financing for leveraged buyouts.

Prospect Capital Corporation actively engages with sponsors, though the focus has shifted slightly.

• The strategy includes focusing on new investments in companies with smaller funded private equity sponsors and independent sponsors.
• The firm also invests in companies with no third party financial sponsors.
• Total assets as of September 30, 2025, were $6.64 billion, down from $6.80 billion the prior quarter.

Institutional lenders participating in the credit facility.

These lenders provide the necessary leverage to fund the middle-market investments.

• PSEC maintains a revolving credit facility with aggregate commitments of $2.1 billion.
• This facility involves 48 current lenders.
• The facility matures in June 2029, offering a long-term funding ladder.
• The company also accesses capital through institutional bond issuances, such as the approximately $168 million of senior unsecured 5.5% Series A Notes due December 31, 2030, completed in October 2025.

Prospect Capital Corporation (PSEC) - Canvas Business Model: Cost Structure

You're looking at the expense side of the ledger for Prospect Capital Corporation, which is heavily influenced by its debt-funded structure and external management arrangement. Honestly, for a Business Development Company (BDC), the cost of capital is the single biggest driver here.

Interest Expense on Unsecured Debt Financing

The cost of borrowing is paramount, as Prospect Capital relies significantly on debt to fund its investments. As of the quarter ended September 30, 2025, the weighted average cost of unsecured debt financing stood at 4.54%. This is slightly up from 4.52% at June 30, 2025. For context, at the end of the March 2025 quarter, this cost was 4.33%.

Looking at the actual expense for the most recent period, the Interest and credit facility expenses for the quarter ended September 2025 totaled $33,687 thousand. This compares to $36,151 thousand for the quarter ended March 2025. The company actively manages its liabilities; for instance, it retired a $156.2 million convertible bond maturity in March 2025.

Management and Incentive Fees Paid to the External Advisor

Prospect Capital Corporation is externally managed by Prospect Capital Management L.P. (PCM), which incurs both a base fee and an incentive fee. The fee structure includes a hurdle rate comparison:

• Quarterly Hurdle Rate: 1.75% (or 7.00% annualized) of pre-incentive fee net investment income on net assets.
• Income Incentive Fee Trigger: 20.00% of pre-incentive fee net investment income that exceeds 125.00% of the quarterly hurdle rate (8.75% annualized).

For the quarter ended September 2025, the costs were:

Expense Component (in $000's)	Amount as of Q3 2025
Base management fee	33,617
Income incentive fee	1,234

To give you a comparison, the Base management fee for the March 2025 quarter was $35,578 thousand, with an Income incentive fee of $4,207 thousand.

Operating Expenses Related to a 150+ Professional Staff

The operational overhead supports a substantial team. As of March 31, 2025, Prospect Capital highlighted having 125+ professionals focused on the middle market. Another data point suggests 177 Employees for Prospect Capital Corporation. These professionals drive the investment diligence and management processes.

Total Operating Expenses for the quarter ending September 2025 were $78,274 thousand. Here is a breakdown of key components for that quarter:

• Allocation of overhead from Prospect Administration: $5,524 thousand.
• Audit, compliance and tax related fees: $899 thousand.
• Directors' fees: $150 thousand.

The Total Operating Expenses for the March 2025 quarter were $87,227 thousand.

Costs of Capital Raising, Including Debt and Equity Issuance

Issuing new debt or equity involves direct costs, though the proceeds often go toward refinancing or investment deployment. A recent example of a debt issuance cost relates to the new notes:

On October 30, 2025, Prospect Capital completed the institutional issuance of approximately $168 million in aggregate principal amount of senior unsecured 5.5% Series A Notes due 2030. The purpose of this issuance was expected to be primarily for the refinancing of existing indebtedness.

The capital structure is also supported by perpetual preferred stock programs, with $2.25 billion in existing programs noted as a diversified capital source.

Prospect Capital Corporation (PSEC) - Canvas Business Model: Revenue Streams

The revenue streams for Prospect Capital Corporation are heavily concentrated in the income generated from its core lending activities within the middle market, supplemented by realized gains from asset sales and ongoing income from its specialized real estate holdings.

Interest Income from Middle-Market Loans: This is the dominant source of revenue for Prospect Capital Corporation. For the fiscal quarter ended September 30, 2025, 96.7% of the total investment income was derived from interest income, reflecting the company's strategic focus on senior secured debt investments that provide a steady, recurring cash flow stream. This high percentage underscores the importance of the debt portfolio in funding operations and distributions.

The Total Investment Income for the quarter ended September 30, 2025, was reported at $157.6 million. This figure represents the top-line revenue generated from all investments before expenses.

Within the interest income, a portion is recognized as Payment-in-Kind (PIK) interest, which accrues and is added to the principal balance rather than being paid in cash currently. For the September 2025 quarter, Prospect Capital's PIK income was $15.4 million, which represented about 10% of the total interest income of approximately $152.4 million. This is a reduction from the 18% share PIK held in the interest income during the same period last year, signaling a de-risking of the income profile.

You can see a comparison of key income components below:

Metric	Amount (Quarter Ended Sept 30, 2025)	Context/Source
Total Investment Income	$157.6 million	Top-line revenue figure for the quarter.
Interest Income Percentage	96.7%	Share of Total Investment Income.
Estimated Total Interest Income	Approximately $152.2 million	Calculated as $157.6 million 96.7%.
PIK Income Component	$15.4 million	Non-cash interest accrued during the quarter.

Income from Real Estate and Structured Credit Investments: While the primary focus is middle-market lending, Prospect Capital Corporation maintains exposure to real estate through its investment in National Property REIT Corp (NPRC). The remaining real estate property portfolio included 55 properties as of October 31, 2025, which paid an income yield of 5.1% for the September 2025 quarter. The company also had an unrealized gain of $320 million on its aggregate NPRC investments as of September 30, 2025. Income from structured credit, specifically subordinated structured notes, is being actively reduced as the company exits that portfolio.

Capital Gains/Losses from the Sale or Exit of Investments: Realized gains contribute to revenue when investments are successfully exited. Prospect Capital Corporation exited three property investments after July 1, 2025, generating approximately $59 million of net proceeds. These specific exits yielded an unlevered investment-level gross cash IRR of 22.8% and a cash-on-cash multiple of 2.3 times. Since its IPO through September 30, 2025, Prospect Capital's exited investments resulted in an investment level realized gross internal rate of return (IRR) of approximately 12%, based on total capital invested of approximately $13.0 billion and total proceeds of approximately $16.6 billion.

Here are the key components driving the revenue profile:

• Interest income from middle-market loans is the primary driver.
• The first lien senior secured loan mix represented 84.8% of investments at cost as of September 30, 2025.
• Real estate portfolio income yield was 5.1% for the September quarter.
• Realized gross IRR on exited investments since inception is approximately 12%.
• Total cumulative distributions paid and declared through the January 2026 distribution reached $4.634 billion.

Finance: draft Q2 2026 revenue projection based on current first lien mix by next Tuesday.