v3.26.1
Derivative Instruments
 3 Months Ended
Mar. 31, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments Derivative Instruments
The Company enters into derivative instruments from time to time to help mitigate its foreign currency and interest rate risk exposures. See “Note 6 – Fair Value of Investments” for additional disclosures related to the fair value hierarchy for derivative instruments.
The table below presents the fair value and notional value of the derivative assets and liabilities for the following periods:
As of March 31, 2026As of December 31, 2025
Counterparty
Notional AmountAssetsLiabilitiesNotional AmountAssetsLiabilities
Derivatives designated as hedges:
Interest Rate Swap 2027 Notes
Deutsche Bank AG$500,000 $— $(826)$500,000 $— $(13,370)
Interest Rate Swap 2030 Notes
Deutsche Bank AG$500,000 2,033 — $500,000 5,663 — 
2,033 (826)5,663 (13,370)
Interest Rate Swap 2029 Notes
Goldman Sachs Bank USA$600,000 — (605)$600,000 3,645 — 
Interest Rate Swap 2029 Notes
Goldman Sachs Bank USA$400,000 4,011 — $400,000 7,185 — 
4,011 (605)10,830 — 
Total Derivatives Designated as Hedges(1)(2)
$6,044 $(1,431)$16,493 $(13,370)
Derivatives not designated as hedges:
Foreign currency forward contract GBPGoldman Sachs Bank USA£94,190 $126,079 $(124,590)£94,190 $126,248 $(126,916)
Foreign currency forward contract EURGoldman Sachs Bank USA€208,670 247,532 (242,301)€208,670 247,528 (247,272)
Foreign currency forward contract AUDGoldman Sachs Bank USAA$2,580 1,730 (1,780)A$2,580 1,685 (1,722)
Foreign currency forward contract AUDGoldman Sachs Bank USA$352 352 (359)$— — — 
$375,693 $(369,030)$375,461 $(375,910)
Foreign currency forward contract GBPSMBC Capital Markets, Inc.£14,775 19,760 (19,544)£14,775 19,549 (19,908)
Foreign currency forward contract EURSMBC Capital Markets, Inc.€5,301 6,296 (6,155)€5,301 6,296 (6,281)
26,056 (25,699)25,845 (26,189)
Foreign currency forward contract CAD
Royal Bank of CanadaC$2,967 2,186 (2,150)C$— — — 
Foreign currency forward contract CAD
Royal Bank of CanadaC$111,549 81,237 (80,806)C$— — — 
83,423 (82,956)— — 
Total Derivatives not Designated as Hedges$485,172 $(477,685)$401,306 $(402,099)
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(1)    The net fair value of the derivatives designated as hedges is recorded as an asset or liability in the Consolidated Statements of Assets and Liabilities.
(2)    The Company’s unsecured notes, that are designated in a qualifying hedging relationship, had carrying value of $1.98 billion and $1.98 billion, net of the related cumulative hedging adjustments that represented an increase (decrease) to the carrying value of the notes of $5.5 million and $3.0 million, as of March 31, 2026 and December 31, 2025, respectively.
The tables below present net unrealized gains and losses on effective interest rate swaps and hedged items included in interest expense for the following periods:
Three Months Ended March 31, 2026
Change in Unrealized Gain (Loss) on:
Interest Rate Swaps
Hedged Items
Net
Derivatives designated as hedges:
Interest rate swaps 2027 Notes$(590)$697 $107 
Interest rate swaps 2030 Notes(3,630)3,589 (41)
(4,220)4,286 66 
Interest rate swaps 2029 Notes(3,174)3,139 (35)
Interest rate swaps 2029 Notes
(4,250)3,798 (452)
(7,424)6,937 (487)
Net Change in Unrealized Gain (Loss) on Interest Rate Swaps and Hedged Items(1)
$(421)
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(1)     Recorded and recognized as components of interest expense in the Consolidated Statements of Operations.
On January 15, 2026, the centrally cleared interest rate swap hedging the 2027 Notes with the notional amount of $500 million was terminated and replaced with a bilateral interest rate swap with identical notional, fixed rate and termination date. See “Note 5 — Debt” for more details.
Three Months Ended March 31, 2025
Change in Unrealized Gain (Loss) on:
Interest Rate Swaps
Hedged Items
Net
Derivatives designated as hedges:
Interest rate swaps 2027 Notes$6,330 $(4,060)$2,270 
6,330 (4,060)2,270 
Interest rate swaps 2029 Notes8,823 (8,346)477 
Interest rate swaps 2029 Notes5,836 (5,958)(122)
14,659 (14,304)355 
Net Change in Unrealized Gain (Loss) on Interest Rate Swaps and Hedged Items(1)
$2,625 
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(1)     Recorded and recognized as components of interest expense in the Consolidated Statements of Operations.
The table below presents net change in unrealized gains and losses on derivative instruments not designated as a qualifying hedge accounting relationship recognized by the Company for the following periods:
Three Months Ended March 31, 2026
Net Change in Unrealized Gain (Loss)
Derivatives not designated as hedges:
Foreign currency forward contract GBP
$2,732 
Foreign currency forward contract AUD
(20)
Foreign currency forward contract EUR
5,101 
Foreign currency forward contract CAD
467 
Total Net Unrealized Gain (Loss)(1)
$8,280 
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(1)     Recorded and recognized as components of translation of assets and liabilities in foreign currencies and other transactions in the Consolidated Statements of Operations.
For the three months ended March 31, 2026, the Company recognized a realized loss of $0.3 million, primarily related to the foreign currency forward contracts held with Goldman Sachs Bank USA. The Company did not hold any foreign currency forward contracts for the three months ended March 31, 2025.