Q €“Ronald Phillis: Hi, Dave. Thanks for €“ and this is my first time on the call. I want to thank you for taking some pretty pointed questions and not dodging them. It’s very helpful. We’re investors in your LPs, not the BDC, and that’s the reason for me being on the call. And I think that most of my questions have been answered, and I was going to go down the lines of your previous caller Dave, but you did such a great job of being clear that I want to thank you again. One thing that I’m not sure of because is it less transparent and it kind of goes into my attempt to understand the favorable market conditions that you have right now is how the inflows into the private credit markets have gone, you know, over the, you know, three months, six, nine time frames, both institutionally and from a retail standpoint?
So, I think the retail €“ if I’m not mistaken, the retail numbers as that have gone into the private credit market have been the latest growth component to the market. And, you know, that’s my question for you. Thank you.
David Golub: Sure. Thank you for the question. So, let’s talk about two components to it. Let’s talk about the demand side and the supply side. On the demand side, we’ve got a number of growth vectors in private debt. One is the growth of the private equity ecosystem, which has grown dramatically over the course of the last 10 years, and based on fundraising and dry powder in private equity ecosystem is likely to continue to grow. A second is the gaining in share from the broadly syndicated market of the private debt market. The number of private equity borrowers who are now borrowing from private debt providers as opposed to issuing broadly syndicated loans, it’s grown very dramatically and I think there’s a continuing share shift toward private debt.
So, you’ve got a couple of dynamics that are growing the demand side. On the supply side, we’ve seen sources of capital. We’ve seen the BDC sector. We’ve seen the institutional sector that David Miyazaki was talking about. And in the last couple of years, we’ve also seen through the non-traded BDC sector, we’ve seen the growth of retail. The retail funds flows are reported with a lag, so I don’t have good insight into what’s happening right now. What I can tell you is that since May, there’s been a fairly dramatic slowdown in new funds flows into non-traded BDCs. And that’s not surprising in the context of the degree of volatility that we’ve seen in markets generally and the decline in public trading market values. So, I think right now what we’ve got is a bit of a supply demand mismatch where there’s significant demand in excess of supply and that’s what’s causing the more lender friendly conditions.
Ronald Phillis: Thank you. Appreciate it.
David Golub: So, I just want to take this opportunity to thank all of you for joining us for today’s call. Thank you for your partnership. If we did not get to a question that you wanted to get answered, please feel free to reach out either Chris or Matt or I would be happy to get back to you, and we look forward to chatting with you again next quarter. Thanks very much.
Operator: This concludes today’s conference call. Thank you all for joining. You may now disconnect.
