Trinity Capital 7.875% Notes due 2029

TRINZ

Market cap $118M

The longer this bull run lasts, the greater the likelihood of a near-term correction. A market correction would be healthy, realigning asset prices with fundamentals and creating opportunities for patient investors. So, rather than full derisking, I advocate a 'balanced hedge' approach.

Trinity Capital Inc. (TRIN) Q1 2026 Earnings Call Transcript

Two high-quality, high-yields have seen their valuations compressed despite maintaining strong underlying fundamentals. Both are generating per-share growth in addition to offering huge yields that appear sustainable for the foreseeable future. The SpaceX IPO and continued strong fundamentals could be major catalysts for TRIN and OTF.

I'm deploying cash into high-quality BDCs, alternative asset managers, and select ETFs to lock in attractive, sustainable yields after a sentiment-driven selloff. ARES, BX, and BAM offer scale, strong management, and secular growth in alternatives, with current valuations reflecting panic rather than fundamentals. HTGC and TRIN present double-digit yields with robust underwriting, low non-accruals, and discounted valuations, despite limited evidence of credit stress.

Trinity Capital continues to deliver robust financials, expanding its asset base and net investment income without increasing leverage or credit risk. TRINZ 7.875% Notes Due 2029 are likely to be called after March 2026, as TRIN shifts toward cheaper secured funding and refinancing options. Non-performing loans remain contained, and portfolio credit quality is stable, supporting the company's disciplined growth strategy.