Summary

• With $14.7 billion in total assets, the Blackstone Secured Lending Fund is one of the largest publicly traded business development companies.
• At the end of 2025, BXSL reported a non-accrual rate of 0.6% on a cost basis, by far the lowest among all the BDCs I have researched so far.
• This can be mostly attributed to the fact that 97.6% of BSXL's portfolio is invested in first-lien senior secured loans, the highest proportion within my coverage universe.
• Even though I believe we are still in the early days of this credit downcycle, I view BXSL's discount to NAV of ~10% as attractive.
• If my macro view is accurate and things continue to worsen in private credit, a window of opportunity may then open to acquire BXSL's shares on the cheap. However, I don't think we are quite there yet.

Macro Headwinds In Private Credit

As I write these lines, the Strait of Hormuz has been effectively closed for 53 consecutive days. It is impressive to see how calm global financial markets have remained so far, considering that

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