$100,000 in 2 Dividend Stocks Could Yield $10,578 a Year
An equal $50,000 stake in Ares Capital and Blue Owl Capital would generate about $10,578 a year at current forward yields, a combined 10.58%. Both are business development companies, and both carry credit risks, including thin dividend coverage at Ares and a dividend cut at Blue Owl.
A $100,000 investment split equally between two dividend stocks, Ares Capital (ARCC) and Blue Owl Capital Corp. (OBDC), would produce about $10,578 a year in dividends at current forward yields, according to an analysis published November 14, 2026. That works out to a combined yield of 10.58%.
Both companies are business development companies, or BDCs. A BDC lends to and invests in mid-sized private firms. To keep its pass-through tax status, it must pay out most of its taxable income, which is why yields often reach double digits.
The calculation assumes $50,000 in each stock.
Ares Capital: tight coverage
Ares is the largest publicly traded BDC. Its forward yield is 10.02%, based on a $1.92 annualized regular dividend and a $19.17 share price. The portfolio covers over 636 companies backed by 271 private equity sponsors.
The weighted average yield on its debt rose to 10.6% at amortized cost, up from 10.3% at year-end 2025.
Coverage is thin. Third-quarter net investment income was $328 million, or $0.46 per share, against a $0.48 regular dividend. The payout has stayed at $0.48 every quarter since 2023.
Chief executive Kort Schnabel said higher yields and the pending MidCap Financial (MFIC) acquisition reinforce "our confidence in the current level of our regular quarterly dividend."
Credit is the main risk. Non-accruals, meaning loans that have stopped paying interest, rose to 2.4% from 1.8%. Net asset value per share slipped to $19.31 from $19.94, and the quarter included $52 million of net realized losses.
Ares also refinanced 2.150% notes with $750 million of 6.250% notes, raising its interest costs. On the positive side, its backlog has grown to about $2.5 billion.
Blue Owl: dividend already cut
Blue Owl's forward yield is 11.14%, based on a $1.24 annualized base dividend and an $11.13 share price. The company cut its quarterly base dividend to $0.31 from $0.37 in 2026 to match its earnings power.
Its portfolio has a fair value of $15.1 billion across 233 companies. First-lien senior secured loans make up 73.1% of the book, and about 95.5% of its debt investments carry floating rates.
Third-quarter adjusted net investment income was $0.33 per share. Non-accruals were 2.9% at cost, and net debt-to-equity was 1.13x.
Taxable accounts face one catch. BDC distributions are mostly taxed as ordinary income, and lending-focused BDCs report very little qualified dividend income, which gets the lower federal rate.
Blue Owl chief executive Craig W. Packer said, "Earnings continued to cover the base dividend comfortably, and NAV increased 40 basis points."
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