Lending Businesses
We believe in the power of diversification to help us achieve higher risk adjusted returns. All of our businesses are designed with a view to build portfolios that are diversified across multiple facets of risk.
Bridge Lending
Bridge lending is the term commonly given to the provision of UK short term mortgages. This market has seen significant growth post the GFC of 2008 as high street banks have largely exited the market. The gap has been filled by non-bank lenders who are equipped to provide borrowers with loans within an expedited time frame, usually of 1-4 weeks. Loans are secured against a variety of property types including residential, commercial, agricultural and land. Maturities are generally 3-12 months and LTVs (loan to value ratios) are generally below 75%.We like this sector due to the generally robust nature of the UK property market, the creditor friendly legal environment and the attractive returns on offer.
Litigation Finance
Litigation finance is the business of providing loans to litigants who have a legal claim but are unable to fund the costs of pursuing the claim. This market has also seen significant growth post the GFC of 2008 with numerous large private equity funds and a few public companies being the main providers of capital. The market is global in nature but has tended to be focussed on the US, UK and Australia. Funding is available for most types of claims subject to rigorous due diligence being undertaken with respect to the strength of the legal case.We like this sector due to the attractive risk adjusted returns and the expanding market opportunity.
New Businesses
We are working on a variety of other specialty lending segments and will update this area as we make further progress.