Our guest on the show this week was Craig Packer, the CEO of Owl Rock Capital Corp (Ticker: ORCC), a $5.4 billion market cap business development company that invests in middle market companies in the US. Craig is also the Chief Investment Officer of Owl Rock Capital, a New York-based direct lending platform with over $50 billion of assets under management. This is the first business development company—or BDC for short—we have had on the podcast, so we wanted to make sure that we spent some time talking about BDCs in general and why Craig thinks they are an attractive niche within public markets. Additionally, in the discussion with Craig, we covered:
- What metrics investors should focus on when they are considering investing in a BDC;
- Owl Rock Capital’s investment philosophy and risk management strategies;
- How Craig would expect the BDC’s portfolio to perform in an economic downturn;
- What kind of investment opportunities Craig and his team are seeing at the moment; and
- The proper use of leverage within a BDC structure
For full disclosure, Cove Street is NOT an Owl Rock Capital Corp shareholder.
Please enjoy the interview at the following sites:
Apple: https://podcasts.apple.com/us/podcast/the-enduring-benefit-of-running-permanent/id1579124518?i=1000578796371
Spotify: https://open.spotify.com/episode/67XgET4SzqMDSldf0bwDRh
YouTube: https://youtu.be/57lt_vG3ExA
Podbean: https://compounders.podbean.com/e/the-enduring-benefit-of-running-permanent-capital-vehicles-with-craig-packer-ceo-of-owl-rock-capital-corporation-nyse-orcc/
If you missed our last Compounders episode with Brian Lane, CEO of Comfort Systems USA, Inc., you can view it here.
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