And so there’s already been vast kind of experience already. The funny thing about credit and losses and defaults they tend to lag the economy. And so, I would suspect that it will happen in the next 12 to 15 months, if it does happen. I would say the other vector, I would think, if I expect that private credit — so I think there’s going to be dispersion and experience for private credit for people. I also think on the margin private credit we’ll do better than broadly syndicated credit. I think the big differentiator for private credit generally has been their ability to tilt into industries. And historically, that’s financed higher-quality industries. Put aside healthcare services for a second, which we don’t really have exposure to. But they got to pick better industries and they were — they didn’t have to be index huggers.
So I would expect that private credit outperforms on the loss line and on the total return line, broadly syndicated credit. And I would expect that there will be differentiation within private credit. That — more differentiation, that differentiation already existed for this moment in time.
Robert Dodd: Got it. I appreciate. The second thing that kind of has historically driven your ROE performance has been the fee income and you tend to get more core protections than an average private credit lender, et cetera. When I look you did disclose the — if I look at your core protection in the portfolio the potential, core protection on the portfolio today versus principal. It’s the lowest level, it’s been in a year. I mean there’s been — fee income was up this quarter but what’s left looks to be relatively potentially lower, is that — is some aging out of the portfolio and that’s just taking the ratio of the two lines. Is some aging and portfolio? Or is that just a random volatility hit?
Joshua Easterly: I think — let’s come back to exactly, but I think some of that, if you’re looking at the fair value as a percentage of core price, I think…
Robert Dodd: I’m taking the ratio of that versus the fair value as a percentage of principal to get the fair value as a percentage of the core price…?
Joshua Easterly: On the fair value of percentage of core prices most definitely that went up because fair value went up. But the portfolio is most definitely stuck around longer than usual given spreads have — we’ve been in a wider spread environment, so repayments have slowed. And so there’s been a slow — I won’t call it aging out but there’s been a roll down of core price in the book. And so I think, if you look at the fair value side, the fair values are up a little bit and repayments have slowed a little bit.
Robert Dodd: Got it. Thank you.
Operator: One moment for our next question. Our next question comes from Melissa Wedel with JPMorgan. Your line is open.
Melissa Wedel: Good morning. Thanks for taking my questions today. A lot of them have actually already been asked and answered. So I thought it might be helpful to look at maybe a couple of the new investments made during the quarter. There were a couple that were larger in size. If I’m looking at this right, maybe Skylark and Marcura [ph] those are listed as manufacturing and transportation sectors, respectively. Just wondering if you could walk through your thinking there on — are those a bit more cyclical? How do you get comfortable with that? I would appreciate it.
Joshua Easterly: Yeah. Yeah. Marcura is actually a software business, mostly for providing software and outsourcing business, providing support solutions and cost management and payments to support the maritime and shipping industry. So think of it as business services software in the shipping industry. And so we don’t — we think we’re a little bit cyclical but not cyclical but very, very high-quality business. The other name you mentioned and I think a Skylark, again a European investment, software ERP business mostly end markets manufacturing so not cyclical.
