Golub Capital BDC, Inc. (NASDAQ:GBDC) Q1 2024 Earnings Call Transcript

David Golub: Chris, let me start and then you can chime in. So long-term philosophy is that we want to stay predominantly match funding. We’re big believers in match funding. So because the vast preponderance of our assets are floating rate assets that inclines us toward using floating rate liabilities. We do have some non-floating rate assets, and so we don’t have to have everything be swapped. And when we did those unsecured bonds when rates were really, really low, we did make a decision at that time to not swap, which is unusual for us, and we made that decision because we saw an asymmetric risk profile to doing so. We thought it was quite unlikely that we were going to see rates go down from those low levels, and we saw the possibility of rates going up. We were right, but please don’t confuse that with our thinking that we’re forecasting interest rates. As a generalization, we don’t want to be in the interest rate forecasting business.

Ryan Lynch: Okay. That makes sense. That’s all for me. Really nice quarter, guys. And I just want to reiterate Robert’s comments on — very well done with the fee structure reductions, both the current one as well as the one you guys have done with the base reseller. That’s definitely a big boost for shareholders. That’s all for me.

Operator: [Operator Instructions] There are no further questions at this time. I will turn the call to David Golub for closing remarks.

David Golub: Great. Thank you, everyone, for joining us today. I have one last request for you, which is — it’s Chris Ericson’s birthday. So if you can wish Chris a happy birthday, that would be great. And we look forward to talking to you next quarter. If you have any questions before then, please feel free to reach out.

Operator: This concludes today’s conference call. We thank you for joining. You may now disconnect your lines.