Company Name: Oxford Square Capital Corp.
Stock Symbol: OXSQ
Industry: Business Development Company (BDC)
Sector: Financial Services
Employees: Approximately 20
Company Summary:
Oxford Square Capital Corp. (OXSQ) is a publicly traded Business Development Company (BDC) that specializes in providing capital to middle-market companies primarily through debt and equity investments. The company’s investment strategy is focused on generating current income and capital appreciation by building a diversified portfolio of high-yield investments.
OXSQ primarily invests in syndicated bank loans, debt and equity tranches of collateralized loan obligations (CLOs), and direct loans to middle-market companies. These investments span various industries, including technology, healthcare, and business services, which helps diversify and mitigate sector-specific risks. The company aims to maintain a balanced approach to its portfolio, focusing on both income generation and capital preservation.
Managed by Oxford Square Management, LLC, OXSQ benefits from the deep expertise and rigorous investment process of its advisor. The management team conducts thorough due diligence and credit analysis on potential investments and actively manages the portfolio to optimize returns while managing risks. OXSQ’s disciplined investment approach is designed to navigate various market conditions and economic cycles.
Why OXSQ is a Good Dividend Investment:
Oxford Square Capital Corp. is appealing to income-focused investors due to its high dividend yield, which is supported by a diversified portfolio of high-yield debt and equity investments. As a BDC, OXSQ is required to distribute at least 90% of its taxable income to shareholders, resulting in regular and substantial dividend payouts.
OXSQ’s investment strategy focuses on high-quality debt instruments and CLOs, providing a stable and consistent income stream. The company’s experienced management team and strategic risk management practices further enhance its ability to deliver attractive risk-adjusted returns. Additionally, OXSQ’s diversified portfolio helps mitigate the risks associated with any single investment or sector.
Despite the inherent risks in middle-market lending and CLO investments, OXSQ’s strategic investment approach, commitment to credit quality, and experienced management team make it a compelling choice for investors seeking reliable and attractive dividend income.
URLs:
Oxford Square Capital Corp. Website
Summary:
Oxford Square Capital Corp. operates as a Business Development Company focusing on debt and equity investments in middle-market companies and CLOs. With a portfolio actively managed to balance income generation and risk, OXSQ aims to provide attractive risk-adjusted returns through its diversified investment strategy. As a high dividend-yield investment, OXSQ is appealing for income-focused investors, owing to its obligation to distribute a majority of its earnings and its strategic risk management practices. This makes it a compelling choice in the dividend investment landscape.
Reminder: past performance is not indicative of how an investment will perform in the future, before making any investment decisions based on this information, and/or the information contained on the website, refer to the TERMS OF SERVICES.
Back to Portfolio (subscriber access only)
*Fly High Investing uses a proprietary projection algorithm that more accurately predicts dividend coverage vs common analyst sentiment. The 12 month projection is based on the most recent data and quarter