<SEC-DOCUMENT>0001104659-20-112668.txt : 20210128
<SEC-HEADER>0001104659-20-112668.hdr.sgml : 20210128
<ACCEPTANCE-DATETIME>20201006163515
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0001104659-20-112668
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		2
FILED AS OF DATE:		20201006

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Barings BDC, Inc.
		CENTRAL INDEX KEY:			0001379785
		IRS NUMBER:				061798488
		STATE OF INCORPORATION:			NC
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		300 SOUTH TRYON STREET
		STREET 2:		SUITE 2500
		CITY:			CHARLOTTE
		STATE:			NC
		ZIP:			28202
		BUSINESS PHONE:		(704) 805-7200

	MAIL ADDRESS:	
		STREET 1:		300 SOUTH TRYON STREET
		STREET 2:		SUITE 2500
		CITY:			CHARLOTTE
		STATE:			NC
		ZIP:			28202

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	Triangle Capital CORP
		DATE OF NAME CHANGE:	20061101
</SEC-HEADER>
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<TYPE>CORRESP
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        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">1900 K Street, NW<BR>
        Washington, DC 20006-1110</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">+1 202 261 3300 Main</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">+1 202 261 3333 Fax</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">www.dechert.com&nbsp;</P>
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        <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase">&nbsp;</P>
        <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase">Harry S. Pangas</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">harry.pangas@dechert.com</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">+1 202 261 3466 Direct</P>
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        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P></TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">October 6, 2020</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase">VIA EDGAR</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Lauren Hamilton</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Staff Accountant</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">U.S.&nbsp;Securities and Exchange Commission</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Division of Investment Management, Disclosure Review Office</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">3 World Financial Center<BR>
New York, N.Y. 10281 <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; color: #1F497D"><BR>
<BR>
</FONT></P>

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<TD STYLE="width: 0in"></TD><TD STYLE="width: 0.25in; text-align: left">Re:</TD><TD STYLE="text-align: justify">Barings BDC, Inc.</TD>
</TR></TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt -0.25in; text-indent: 0.5in">Form 10-K for the Fiscal Year Ended December
31, 2019</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.25in">File Number: 814-00733</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Dear Ms. Hamilton:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On behalf of Barings BDC, Inc. (the &ldquo;<B><I>Company</I></B>&rdquo;),
this letter responds to the comments issued by the staff (the &ldquo;<B><I>Staff</I></B>&rdquo;) of the U.S. Securities and Exchange
Commission (&ldquo;<B><I>SEC</I></B>&rdquo;) to us on September 17, 2020 relating to the Company&rsquo;s Form 10-K for the fiscal
year ended December 31, 2019 (the &ldquo;<B><I>Form 10-K</I></B>&rdquo;).</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For your convenience, the Staff&rsquo;s
comments are included in this letter, and each comment is followed by the Company&rsquo;s responses.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">&nbsp;</P>

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<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>1.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;We refer to the line item entitled &ldquo;Weighted average yield on total
investments&rdquo; in the &ldquo;Selected Financial Data&rdquo; table contained on page 70 of the Form 10-K. According to footnote
1 to the &ldquo;Selected Financial Data&rdquo; table, such weighted average yield has been calculated by excluding non-accrual
debt investments. In the Company&rsquo;s future SEC filings, please include an additional line item immediately before or after
the above-referenced line item which discloses the weighted average yield on <B><U>all</U></B> of the Company&rsquo;s total investments,
including non-accrual debt investments.</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B><U>Response</U>: </B>The Company
will comply with this comment commencing with its Form 10-K for the year ending December 31, 2020.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

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<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>2.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;We note that the &ldquo;Selected Financial Data&rdquo; table on page
70 of the Form 10-K discloses that the weighted average yield on the Company&rsquo;s total investments excluding non-accrual debt
investments was <B>6.2%</B> at December 31, 2019. We also note disclosure on page 73 of the Form 10-K that &ldquo;[t]he weighted-average
yield on all of our outstanding investments (including equity and equity-linked investments and short-term investments) was approximately
<B>5.8% </B>as of December 31, 2019.&rdquo; Please reconcile these two contradictory statements relating to the weighted average
yield on the Company&rsquo;s total/outstanding investments.</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"></P>

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    <TD STYLE="width: 80%; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt">&nbsp;<IMG SRC="image_001.jpg" ALT="Dechert_STAlogo_BLACKsm2" STYLE="height: 41px; width: 120px"></TD>
    <TD STYLE="width: 20%; padding-right: 5.4pt; padding-left: 5.4pt">
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">October 6, 2020</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Page 2</P></TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"><B><U>Response</U>: </B>The Company respectfully submits
that the 6.2% represents the aggregate weighted average yield of the Company&rsquo;s middle-market private debt portfolio and the
Company&rsquo;s syndicated senior secured loan portfolio as of December 31, 2019, whereas the 5.8% represents the weighted-average
yield on all of the Company&rsquo;s outstanding investments (including equity and equity-linked investments and short-term investments)
as of December 31, 2019.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in">&nbsp;</P>

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<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>3.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;We refer to the statement on page 76 of the Form 10-K that &ldquo;[a]s
of&nbsp;December&nbsp;31, 2019&nbsp;and&nbsp;December&nbsp;31, 2018, we had no non-accrual assets.&rdquo; Please explain to the
Staff how that statement is consistent with footnote 1 to the &ldquo;Selected Financial Data&rdquo; table which denotes that the
weighted average yield on the Company&rsquo;s total investments &ldquo;[e]xcludes non-accrual debt investments.&rdquo;</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B><U>Response</U>: </B>The Company
respectfully submits that footnote 1 to the &ldquo;Selected Financial Data&rdquo; table relates to all years in the Selected Financial
Data schedule (2015-2019). For years 2015-2017, the Company did have non-accruals. The Company will include in future SEC filings
an additional line item immediately before or after the above-referenced line item, which discloses the weighted average yield
on all of the Company&rsquo;s total investments, including non-accrual debt investments.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>4.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;Please confirm that all related-party transactions required to be disclosed
in accordance with Rules 6-04(5) and 6-04(12) of Regulation S-X on the face of the Company&rsquo;s balance sheet are so disclosed.</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B><U>Response</U>: </B>The Company
acknowledges the Staff&rsquo;s comment and will disclose all related-party transactions required by Rules 6-04(5) and 6-04(12)
of Regulation S-X in future filings. The Company supplementally confirms that the Company disclosed all such related-party transactions
in the Company&rsquo;s quarterly report on Form 10-Q for the quarter ended June 30, 2020 filed with the SEC on August 5, 2020.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

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<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>5.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;We note references in the Company&rsquo;s schedule of investments to
 &ldquo;foreign currency transactions.&rdquo; Please confirm to the Staff that all liabilities related to forward foreign currency
contracts or &ldquo;other investments&rdquo; are separately disclosed on the face of the Company&rsquo;s balance sheet in accordance
with Rule 6-04(9) of Regulation S-X.</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt">&nbsp;</P>

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    <TD STYLE="width: 80%; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt">&nbsp;<IMG SRC="image_001.jpg" ALT="Dechert_STAlogo_BLACKsm2" STYLE="height: 41px; width: 120px"></TD>
    <TD STYLE="width: 20%; padding-right: 5.4pt; padding-left: 5.4pt">
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">October 6, 2020</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Page 3</P></TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B><U>Response</U>: &#9;</B>On
Form 10-K, for year ended December 31, 2019, the amount of liabilities related to forward currency contracts was $23,599 or 0.00%
of total liabilities. These amounts were de minimis for the period ended December 31, 2019. If in future periods amounts become
material, the Company will consider breaking out as a separate line item.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>6.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;In the Company&rsquo;s future SEC filings, please disclose the class
of securities held in other issuers in accordance with Rule 12-12 of Regulation S-X.</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B><U>Response</U>:&#9;</B>The
Company respectfully submits that the class of securities held in other issuers is disclosed in the Schedule of Investments where
multiple classes of securities exist as required by Rule 12-12 of Regulation S-X.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>7.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;We refer to the following excerpt from footnote 4 of Rule 12-12 of Regulation
S-X and request that the Company ensure that the schedule of investments included in its future SEC filings fully complies with
the provisions thereof, including the bold provisions highlighted below:</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0in">&ldquo;<FONT STYLE="color: #333333">For
variable rate securities, indicate a description of the reference rate and spread and: (1) The end of period interest rate or (2)
disclose the end of period reference rate for each reference rate described in the Schedule in a note to the Schedule.<FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&rdquo;</FONT></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B><U>Response</U>:&#9;</B>The
Company respectfully submits that it is currently in compliance with footnote 4 of Rule 12-12 of Regulation S-X. The Company includes
the reference rate, spread and end of period interest rate on the Schedule of Investments. In addition, for securities with payment
in kind income, the Company discloses the rate paid in kind in the Schedule of Investments.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top">
<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>8.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;Please supplementally disclose to the Staff whether the Company invests
in covenant-lite loans and, if so, the magnitude thereof. If the Company will hold a significant amount of covenant-lite loans,
please revise the Company&rsquo;s principal risks disclosure in the Company&rsquo;s future SEC filings to include the heightened
risks associated with covenant-lite loans.</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B><U>Response</U>:&#9;</B>The
Company advises the Staff that a significant portion of its debt investments include so-called covenant-lite loans. Accordingly,
the Company will include the following risk factor in its Form 10-Q for the quarter ending September 30, 2020 and other appropriate
SEC filings thereafter.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

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<TR STYLE="vertical-align: top">
    <TD STYLE="width: 80%; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt">&nbsp;<IMG SRC="image_001.jpg" ALT="Dechert_STAlogo_BLACKsm2" STYLE="height: 41px; width: 120px"></TD>
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        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">October 6, 2020</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Page 3</P></TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&ldquo;<B><I>Covenant-Lite Loans</I></B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">A significant number of high
yield loans in the market, in particular the broadly syndicated loan market, may consist of covenant-lite loans, or &ldquo;Covenant-Lite
Loans.&rdquo; A significant portion of the loans in which the Company may invest or get exposure to through its investments may
be deemed to be Covenant-Lite Loans and it is possible that such loans may comprise a majority of the Company&rsquo;s portfolio.
Such loans do not require the borrower to maintain debt service or other financial ratios and do not include terms which allow
the lender to monitor the performance of the borrower and declare a default if certain criteria are breached. Ownership of Covenant-Lite
Loans may expose the Company to different risks, including with respect to liquidity, price volatility, ability to restructure
loans, credit risks and less protective loan documentation, than is the case with loans that contain financial maintenance covenants.&rdquo;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

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<TD STYLE="width: 0"></TD><TD STYLE="width: 0.5in"><B>9.</B></TD><TD STYLE="text-align: justify"><B><U>Comment</U>:</B>&#9;We note that many of the Company&rsquo;s debt investments are subject
to interest rate caps and floors. In the Company&rsquo;s future SEC filings, please disclose the caps and floors, including the
amounts thereof, in the Company&rsquo;s Schedule of Investments. <U>See</U> AICPA Expert Panel, February 20, 2018.</TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B><U>Response</U>:&#9;</B>The
Company will disclose interest rate caps and floors by way of footnotes to the Schedule of Investments in future SEC filings.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">* * *</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Should you have any questions or comments,
please contact the undersigned at 202.261.3466.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Sincerely,</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">/s/ Harry S. Pangas</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Harry S. Pangas</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></P>

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