BBDC vs. ARCC
BBDC (Barings BDC, Inc.) and ARCC (Ares Capital Corporation) are both stocks. Both are in the Financial Services sector — BBDC in Credit Services, ARCC in Asset Management. Over the past 5 years, BBDC returned 6.45%/yr vs 9.04%/yr for ARCC. A 0.56 correlation means they provide meaningful diversification when combined.
Performance
BBDC vs. ARCC - Performance Comparison
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Returns By Period
In the year-to-date period, BBDC achieves a -2.86% return, which is significantly lower than ARCC's -2.20% return.
BBDC
- 1D
- 0.00%
- 1M
- 0.43%
- YTD
- -2.86%
- 6M
- -1.25%
- 1Y
- 4.66%
- 3Y*
- 14.63%
- 5Y*
- 6.45%
- 10Y*
- —
ARCC
- 1D
- 1.00%
- 1M
- 1.69%
- YTD
- -2.20%
- 6M
- -2.87%
- 1Y
- -3.87%
- 3Y*
- 10.27%
- 5Y*
- 9.04%
- 10Y*
- 13.20%
BBDC vs. ARCC - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | |
|---|---|---|---|---|---|---|---|---|---|
BBDC Barings BDC, Inc. | -2.86% | 8.84% | 23.86% | 18.53% | -18.59% | 29.31% | -3.48% | 20.40% | -9.56% |
ARCC Ares Capital Corporation | -2.20% | 1.07% | 19.78% | 20.03% | -3.84% | 36.14% | 0.86% | 31.30% | -5.32% |
Correlation
The correlation between BBDC and ARCC is 0.75, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.75 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.66 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.64 |
Correlation (All Time) Calculated using the full available price history since Aug 3, 2018 | 0.56 |
The correlation between BBDC and ARCC shifts across timeframes, from 0.56 (all time) to 0.75 (1 year), reflecting how their relationship changes across market environments.
Fundamentals
BBDC:
$878.49M
ARCC:
$13.83B
BBDC:
$0.66
ARCC:
$1.63
BBDC:
12.71
ARCC:
11.81
BBDC:
0.02
ARCC:
1.77
BBDC:
5.06
ARCC:
5.16
BBDC:
0.76
ARCC:
0.98
BBDC:
$174.30M
ARCC:
$2.63B
BBDC:
$149.47M
ARCC:
$1.86B
BBDC:
$90.27M
ARCC:
$2.05B
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Return for Risk
BBDC vs. ARCC — Risk / Return Rank
BBDC
ARCC
BBDC vs. ARCC - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Barings BDC, Inc. (BBDC) and Ares Capital Corporation (ARCC). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| BBDC | ARCC | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.50 | ||
| Sortino ratioReturn per unit of downside risk | +0.70 | ||
| Omega ratioGain probability vs. loss probability | 1.05 | 0.97 | +0.08 |
| Calmar ratioReturn relative to maximum drawdown | 0.33 | -0.26 | +0.60 |
| Martin ratioReturn relative to average drawdown | 0.73 | -0.47 | +1.21 |
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Drawdowns
BBDC vs. ARCC - Drawdown Comparison
The maximum BBDC drawdown since its inception was -48.45%, smaller than the maximum ARCC drawdown of -79.36%. Use the drawdown chart below to compare losses from any high point for BBDC and ARCC.
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Drawdown Indicators
| BBDC | ARCC | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -48.45% | -79.36% | +30.91% |
Max Drawdown (1Y)Largest decline over 1 year | -12.28% | -19.35% | +7.07% |
Max Drawdown (3Y)Largest decline over 3 years | -24.51% | -19.35% | -5.16% |
Max Drawdown (5Y)Largest decline over 5 years | -27.55% | -21.76% | -5.79% |
Max Drawdown (10Y)Largest decline over 10 years | — | -56.77% | — |
Current DrawdownCurrent decline from peak | -6.42% | -10.98% | +4.56% |
Average DrawdownAverage peak-to-trough decline | -7.98% | -9.10% | +1.12% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 5.59% | 10.68% | -5.09% |
Volatility
BBDC vs. ARCC - Volatility Comparison
Barings BDC, Inc. (BBDC) has a higher volatility of 6.34% compared to Ares Capital Corporation (ARCC) at 3.72%. This indicates that BBDC's price experiences larger fluctuations and is considered to be riskier than ARCC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| BBDC | ARCC | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 6.34% | 3.72% | +2.62% |
Volatility (6M)Calculated over the trailing 6-month period | 15.12% | 14.83% | +0.29% |
Volatility (1Y)Calculated over the trailing 1-year period | 18.60% | 18.48% | +0.12% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 19.39% | 19.96% | -0.57% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 24.21% | 25.58% | -1.37% |
Dividends
BBDC vs. ARCC - Dividend Comparison
BBDC's dividend yield for the trailing twelve months is around 12.99%, more than ARCC's 9.97% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
ARCC Ares Capital Corporation | 7.48% | 9.49% | 8.77% | 9.59% | 10.12% | 7.65% | 9.47% | 9.01% | 9.88% | 9.67% | 9.22% | 11.02% |
BBDC Barings BDC, Inc. | 12.99% | 12.96% | 10.87% | 11.89% | 11.66% | 7.44% | 7.07% | 5.25% | 21.24% | 0.00% | 0.00% | 0.00% |
Financials
BBDC vs. ARCC - Financials Comparison
This section allows you to compare key financial metrics between Barings BDC, Inc. and Ares Capital Corporation. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
Frequently Asked Questions
BBDC and ARCC have a correlation of 0.75, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
BBDC has higher volatility (6.34%) compared to ARCC (3.72%). In terms of maximum drawdown, BBDC dropped -48.45% vs ARCC's -79.36%.
BBDC currently has the higher Sharpe Ratio (0.22 vs -0.27), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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