John Cole Scott, president of Closed-End Fund Advisors says that -- despite a rough outing for business development companies this week -- BDCs have had a strong quarter from a total return perspective, and that prospects remain strong as BDCs have been raising their distributions but the dividend-coverage percentages have remained roughly steady, a sign that they're not only positioned well now but that they are ready to deal with rising interest rates and inflation. Scott, who is also chairman of the Active Investment Company Alliance, compares two BDCs -- one trading at a premium, the other at a discount -- and discusses how there is room for both in a portfolio despite the different way they are viewed by the market.