Warren Buffett's Berkshire Owns Ares Capital, a BDC with 9.9% Yield that Beats the Market

Warren Buffett's Berkshire Hathaway owns Ares Capital, a business development company with a 9.9% dividend yield.

Ares Capital provides financing to middle-market businesses that banks sometimes avoid.

The company has paid stable and growing dividends for over 13 years.

Ares Capital has delivered a 12% average annual total return since its IPO in 2004, beating the S&P 500.

Over the last 3 years, Ares Capital's total return has doubled that of the S&P 500.