A&F has developed a managed investment platform which enables investors to benefit from our expertise and infrastructure. A&F allows investors to achieve individual, bespoke risk-reward profiles within its managed investment platform. A&F’s managed investment platform provides access to different asset classes with stable historic performance but above average returns compared to the related volatility.
A&F’s managed investment platform is not a vulture: we do not rely on distressed assets or market dislocation to create value.
A&F executes and monitors transactions which are included in our managed investment platform. One of A&F’s managed investment platform compartments is focused on equity tranches of performing trade receivables securitisations. A second compartment is focused on structured finance transactions and distressed assets. A&F invests its own funds in each transaction available to investors, thus ensuring total alignment of investors’ interests with those of A&F (and in certain cases A&F is junior in principle repayment to other investors).
The Investment Structure
A&F conducts its asset management activity through a regulated Fund, denominated TRE, with more than 4 years of certified track record. To date, A&F has committed funds under management of Euro 50 million.
The investment strategy concentrates on performing trade receivable securitisations which provide access to:
- Investments not ordinarily available other than to financing banks
- With limited risk
- With top credit quality originators
- With the continuous involvement of the main lending banks
Primary investments are in pan European trade receivables:
- Due from, or supported by, sovereign or sub-sovereign entities
- Normally originated by top telecommunications and utilities companies
- Often originated by companies operating in anti-cyclical sectors
A&F has added 35 equity tranches to our managed investment platform in a total amount exceeding Euro 30 million since 2009. Actual investment performance in all 35 tranches has been strong — meeting or exceeding our initial modeling parameters.