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Fidus Investment approves new minimum asset coverage ratio

Fidus Investment Corp.'s board on April 29 approved a minimum asset coverage ratio of 150%, which will become effective April 29, 2020.

The passage of the Small Business Credit Availability Act allowed business development companies to lower their respective minimum asset coverage ratios to 150% from 200%. The reform was included in Congress' $1.3 trillion spending bill in March 2018, which U.S. President Donald Trump signed into law.