Appropriate access to attractive debt financing opportunities is central for investors and their investment decisions. We developed our “Bank Sourcing Model” to provide our clients with access to leading industry partners..
We assume all tasks of the investment vehicle
To do so, we strive to create a strategic partnership between industry partners and investors. Investors acquire loans directly, via an investment vehicle, side by side with a bank. These must fit into the investment strategy and criteria, which are set out with our clients in a diligently managed investment process.
Due to varying requirements, our core principle is to make direct investments via an investment company. A direct purchase does not make sense for many reasons.
Prime Capital assumes the tasks of an investment company, which acquires a bank’s credit instrument by assignment (e.g. in the form of an umbrella SICAV). There is no sub-participation! Fund shares as well as other financial instruments of a capital structure can be issued. These will be acquired by the investor or individual risk-carriers of the investor. Additionally, the investment company assumes the tasks that are required by investment laws and regulators, and manages the vehicle and its sub-funds.
Clear roles, full control
The bank assumes the role of the market, as well as the tasks of lending (sourcing), back office, and loan processing (servicing). The investor assumes the role of monitoring and performing corporate governance of the investment company, meeting the necessary requirements of paging control for the investment company and determining the credit risk strategy.