Oxford Square Capital Corp. (OXSQ): Marketing Mix Analysis [Dec-2025 Updated]

You're digging into Oxford Square Capital Corp. (OXSQ), trying to make sense of a high-yield Business Development Company (BDC), and honestly, mapping its complex investment structure to its distribution policy is where the real insight lies. As an analyst who's seen a few cycles, I can tell you the yield tells one story; the structure tells the whole truth. Their model, leaning on corporate debt and CLO equity to target middle-market companies, is what supports that massive 22.7% annualized dividend based on the $0.035 monthly share payout as of late 2025. So, let's map out the four pillars-Product, Place, Promotion, and Price-to see exactly how Oxford Square Capital Corp. delivers that income to your brokerage account.

Oxford Square Capital Corp. (OXSQ) - Marketing Mix: Product

You're looking at the core offering of Oxford Square Capital Corp. (OXSQ), which is fundamentally about deploying capital into specific credit instruments to generate returns. The product here isn't a physical good; it's a managed portfolio of debt and structured finance investments. Oxford Square Capital Corp. operates as a publicly-traded closed-end, management investment company, electing to be regulated as a Business Development Company (BDC) under the Investment Company Act of 1940, as amended. Its stated investment objective is to maximize the portfolio's total return by seeking an attractive risk-adjusted total return. That's the structure you need to know.

The primary focus for Oxford Square Capital Corp. is investing in corporate debt securities and Collateralized Loan Obligation (CLO) structured finance investments. These CLO investments often include warehouse facilities, which are financing structures used to aggregate loans before they form a CLO vehicle. You see this split clearly in how they structure their assets. The company invests in both direct debt and the equity tranches of these complex CLO vehicles, aiming to capture yield from both senior and subordinate positions in the capital stack.

As of the second quarter of 2025, the portfolio allocation shows a clear preference for senior credit, though a significant portion is dedicated to the higher-yielding CLO equity. The required allocation breakdown is approximately 61% secured debt, 37% CLO equity, with the remainder in other assets. Here's a look at the investment income breakdown from the quarter ending June 30, 2025, which gives you a sense of where the cash flow is coming from:

The company targets middle-market companies, which is a key part of its product positioning. Specifically, Oxford Square Capital Corp. targets these middle-market companies with revenues less than $200 million. This focus dictates the size and type of debt and equity it underwrites or purchases. For context on the portfolio size, at the end of the prior quarter (Q1 2025), the total fair value of the investment portfolio stood at about $243.2 million across 61 positions.

To fund these investments and manage its capital structure, Oxford Square Capital Corp. also offers debt products directly to investors. A recent example of this product is the 7.75% Notes due 2030, trading under the symbol OXSQH. The company priced a public offering of $65 million in aggregate principal amount of these unsecured notes in August 2025, with an option for underwriters to purchase an additional $9.75 million. These notes mature on July 31, 2030, and bear interest at that 7.75% rate, payable quarterly, starting October 31, 2025. This provides a fixed-income component to the overall business offering.

You should also track the key performance indicators related to the product's output, like the Net Asset Value (NAV) per share, which stood at $2.06 as of June 30, 2025. The Net Investment Income (NII) for that same quarter was approximately $5.5 million, or $0.08 per share. The company is also committed to shareholder returns through common stock distributions, declaring $0.035 per share monthly for October, November, and December 2025.

• BDC structure: Regulated under the Investment Company Act of 1940.
• Primary Assets: Corporate debt securities and CLO equity tranches.
• Portfolio Allocation (Q2 2025): Secured Debt at 61%, CLO Equity at 37%.
• Investment Target: Middle-market companies with revenues under $200 million.
• Investor Notes: Unsecured notes like the 7.75% Notes due 2030 (OXSQH) are offered.

Oxford Square Capital Corp. (OXSQ) - Marketing Mix: Place

You're looking at how Oxford Square Capital Corp. makes its investment products-the common stock and the notes-available to you, the investor. For a Business Development Company like Oxford Square Capital Corp., 'Place' is less about physical shelf space and more about the electronic venues where securities trade and the administrative base supporting those transactions.

Public Trading Venues for Securities

The primary way investors access Oxford Square Capital Corp. is through its publicly traded common stock, symbol OXSQ. This stock is listed on the NASDAQ-GS, which is the NASDAQ Global Select Market, signifying a high standard for listing requirements. The initial listing for the common stock was back on November 21, 2003.

The distribution of Oxford Square Capital Corp.'s debt instruments is also centralized on the same exchange for ease of access. You'll find the notes, such as OXSQG and OXSQH, listed on the NASDAQ as well. For instance, the unsecured notes priced in August 2025, which bear interest at 7.75% and mature on July 31, 2030, are expected to trade under the symbol OXSQH on the NASDAQ Global Select Market.

Here's a quick look at the main tradable instruments and where you find them:

Accessibility and Distribution Channels

The actual 'distribution' of these securities relies entirely on the established financial infrastructure. You can purchase Oxford Square Capital Corp. stock through just about any brokerage firm you use, including all the major online brokerage services available today. This means the distribution network is broad and digitally enabled, which is standard for a publicly traded BDC.

The process involves the standard secondary market mechanisms, meaning transactions are routed through broker-dealers who execute trades on the exchange floor or via electronic communication networks (ECNs). Financial advisors and portfolio managers also use these platforms to allocate shares or notes to client accounts. The accessibility is high, but the liquidity can fluctuate, as seen by the recent trading volume.

Key aspects of the distribution access include:

• Common stock (OXSQ) is available via all major brokerage platforms.
• Notes (e.g., OXSQH) are accessible through the same brokerage infrastructure.
• The 52-week trading range for OXSQ shows a low of $1.56 and a high of $2.96 (as of Nov 5, 2025).
• The average trading volume for OXSQ was recently reported as 970,005 shares.
• The Net Asset Value (NAV) per share as of September 30, 2025, was $1.95.

Corporate Location

The operational and administrative center for Oxford Square Capital Corp. is its corporate headquarters. This is where the key decisions regarding investment strategy and shareholder communications, which directly impact product availability and terms, are made. The location is fixed, providing a stable anchor for the business development company's management activities.

The corporate headquarters for Oxford Square Capital Corp. is located in Greenwich, Connecticut. The specific address is 8 Sound Shore Drive, Suite 255, Greenwich, Connecticut, 06830.

The firm also utilizes an Administration Agreement where Oxford Funds furnishes office facilities and administrative services at this Greenwich location, which helps manage the required regulatory filings with the SEC and the determination of the net asset value.

Oxford Square Capital Corp. (OXSQ) - Marketing Mix: Promotion

Promotion for Oxford Square Capital Corp. centers on timely, regulated communication with the investment community, emphasizing financial performance and, critically, the consistency of shareholder distributions.

Regular press releases for quarterly financial results and distributions.

Oxford Square Capital Corp. adheres to a strict schedule for public disclosure. For instance, the financial results for the quarter ended September 30, 2025, were announced via a press release on November 4, 2025. This same release also included the declaration of common stock distributions for the months ending January 31, 2026, February 28, 2026, and March 31, 2026. The company's communication cadence is established by these regular filings, such as the press release for the quarter ended June 30, 2025, issued on August 7, 2025.

The content of these releases provides concrete financial metrics that form the basis of promotional messaging:

• Net Investment Income (NII) for Q3 2025 was $5.6 million, or $0.07 per share.
• Total Investment Income for Q3 2025 reached $10.2 million.
• Net Asset Value (NAV) per share as of September 30, 2025, was $1.95.
• The company recorded combined net unrealized and realized losses on investments of approximately $7.5 million in Q3 2025.

Quarterly Investor Presentations available on the corporate website.

To supplement the press releases, Oxford Square Capital Corp. makes detailed investor presentations available on its corporate website, www.oxfordsquarecapital.com. These presentations offer a deeper dive into portfolio activity and yield metrics. For example, the Investor Presentation for the Quarter Ended September 30, 2025, was published on November 4, 2025.

The presentations quantify investment activity and portfolio characteristics, such as:

Management hosts quarterly earnings conference calls for analysts and investors.

Management participation is a key promotional element, providing direct access to the CEO, CFO, and Portfolio Managers. The Third Quarter 2025 Earnings Conference Call was held on November 4, 2025. Similarly, the Second Quarter 2025 call occurred on August 7, 2025. These calls allow management to discuss forward-looking statements and provide context around the reported figures, such as the $11.8 million in net proceeds from an at-the-market offering during Q3 2025.

Focus on consistent monthly distribution declarations for shareholder confidence.

The commitment to shareholder returns is heavily promoted, underscored by a 22-year track record of consistent dividend payments. The monthly distribution amount is a focal point, with the Board declaring $0.035 per share for each of the months ending October, November, and December of 2025. Furthermore, the declaration on November 4, 2025, confirmed the $0.035 per share monthly distribution for the first three months of 2026.

The quantitative data supporting this promotional focus includes:

• Monthly Distribution Amount (latest declared): $0.0350 per share.
• Annualized Dividend Payout: $0.42 per share.
• Dividend Yield (TTM, as of late 2025 data): Approximately 22.8%.
• Shareholder confidence is also signaled by the authorization of a 12-month share repurchase program of up to $25 million.

Oxford Square Capital Corp. (OXSQ) - Marketing Mix: Price

You're looking at the pricing structure for Oxford Square Capital Corp. (OXSQ) as of late 2025, which centers heavily on shareholder distributions and the underlying value of the assets.

The common stock distribution policy shows consistency, with the monthly payout set at $0.035 per share, a rate confirmed to be in place through January, February, and March 2026. This translates to an annualized dividend of approximately $0.42 per share.

This distribution level, relative to the market price around the reporting period, resulted in a high yield of around 22.7%. The Net Asset Value (NAV) per share, which represents the underlying book value, was reported at $1.95 as of September 30, 2025. This compares to a NAV per share of $2.06 on June 30, 2025.

From an investment performance perspective, the weighted average yield on debt investments was 14.6% at current cost for the third quarter of 2025. To support the stock price and signal management's view on valuation, the Board authorized a share repurchase program of up to $25 million in November 2025.

Here's a quick view of the key pricing and value metrics:

The company also executed capital actions, including issuing approximately 5.4 million common shares via an At-The-Market (ATM) offering in Q3 2025, which generated net proceeds of approximately $11.8 million. The price-to-NAV ratio, using the $1.95 NAV and a market price of $1.85 as of late November 2025, suggests the stock traded at a discount of approximately 0.82x or -5.64% premium/(discount).

You can see the distribution coverage was tight, as Net Investment Income (NII) per share was approximately $0.07 for Q3 2025, while the total distribution paid for that period was $0.105 per share ($0.035 monthly).

The pricing strategy is clearly focused on maintaining a high current yield for income-focused investors, even as the NAV per share experienced a decline due to unrealized depreciation.