Komfie Manalo, Opalesque Asia: Saying that the "time is right for this strategy," Octagon Asset
Management CEO and Head Portfolio Manager Mead Welles announced the
launch of the Octagon Global Trade Fund, a direct-lending specialty
finance vehicle built upon collateralized loans to exporters and
importers around the world.
In a press statement, Octagon said that the Global Trade
Fund has a target annual return of 8-12% after fees with low volatility
and low correlation to all major capital markets.
Welles said, "A host of factors – including the global liquidity crisis
and the impact of Basel III regulatory changes – have made it much more
difficult for exporters and importers to secure financing from
traditional sources such as multinational banks. At the same time, the
persistent low-interest rate environment makes the high-yield,
low-volatility characteristics of the Global Trade Fund an extremely
attractive fixed income alternative to investors."
The Global Trade Fund offers various forms of financing to qualified
companies engaging in international trade who meet a rigorous screening
process.
He added, "The basic strategy is very straightforward. We make loans to
exporters and importers, secured by their inventory, trade receivables,
or both. It’s actually one of the oldest forms of finance, but we use
modern, sophisticated techni...................... To view our full article Click here
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