XML 26 R16.htm IDEA: XBRL DOCUMENT v3.23.3
Derivatives
 9 Months Ended
Sep. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivatives Derivatives
The Company enters into derivative financial instruments in the normal course of business from time to time to achieve certain risk management objectives, including managing its interest rate and foreign currency risk exposures. For derivative contracts, the Company enters into netting arrangements with its counterparties. In accordance with authoritative guidance, the Company offsets fair value amounts recognized for derivative instruments with the same counterparty under a master netting arrangement.
The Company may enter into forward currency exchange contracts to reduce the exposure to foreign currency exchange rate fluctuations of the Company and its shareholders, as described in Note 2. The fair value of derivative contracts open as of September 30, 2023 and December 31, 2022 is included on the consolidated schedules of investments by contract. The Company had no collateral payable for September 30, 2023. Collateral amounts posted are included in collateral on forward currency exchange contracts on the Consolidated Statements of Assets and Liabilities. Collateral payable is included in collateral payable on forward currency exchange contracts on the Consolidated Statements of Assets and Liabilities.
During the three and nine months ended September 30, 2023, the average notional exposure for foreign currency forward contracts was $13.6 million and $6.0 million, respectively.
The following table presents both gross and net information about derivative instruments eligible for offset in the Consolidated Statements of Assets and Liabilities.
September 30, 2023
CounterpartyGross
Amount
of
Assets		Gross Amount of
(Liabilities)		Net amounts presented in the
Statements of
Assets and Liabilities
Collateral
Received/Pledged(1)
Net
Amounts(2)
State Street Bank and Trust Company
$141 $— $141 $— $141 
$141 $— $141 $— $141 

(1)Amount excludes excess cash collateral paid.
(2)Net amount represents the net amount due (to) from counterparty in the event of a default based on the contractual setoff rights under the agreement. Net amount excludes any over-collateralized amounts, if applicable.
The effect of transactions in derivative instruments on the Consolidated Statements of Operations during the three and nine months ended September 30, 2023 were as follows:

Three Months Ended
September 30, 2023		Nine Months Ended September 30, 2023
Realized gain (loss) on foreign currency forward contracts$325 $325 
Net change in unrealized gain (loss) on foreign currency forward contracts132 141 
Total net realized and unrealized gain (loss) on foreign currency forward contracts$457 $466