Goldman Sachs (NYSE:GS) has filed paperwork to found a business development company, which will be called Goldman Sachs Liberty Harbor Capital. Companies in this space such as Prospect Capital (NASDAQ:PSEC) and American Capital (NASDAQ:ACAS) are known for high dividend yields, though American Capital's dividend was suspended during the financial crisis. This leaves investors asking, should I buy Goldman Sachs Liberty Harbor Capital the moment I have a chance? In this video, Motley Fool financial analysts Matt Koppenheffer and David Hanson discuss what a business development company is, why it could be appealing, and whether or not they're buying.
David Hanson owns shares of Goldman Sachs. Matt Koppenheffer owns shares of Goldman Sachs. The Motley Fool recommends Goldman Sachs. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
