Tailoring a vehicle to gain access to private markets
Secfi Asset Management, through its Separate Managed Vehicles offers investors the possibility to create a curated fund with a dedicated portfolio management team around it, offering investors:
- Flexible structuring options
- Customized strategies with a specific investment thesis to meet investor's needs
- Management of vehicle according to customized defined parameters
Product type characteristics
Investment: Investor provides a cash advance
Secured by private shares: Advance value between 20 - 50 cents on the dollar relative to Secfi’s underwriting providing downside protection
PIK Interest: A “PIK” is due over the investment amount and accrues til exit, looking to provide credit-like returns.
Equity Fee: An “equity fee” is due over the full collateral pool, providing equity-like returns.
Potential benefits for the Investor
Exclusive Funnel: Secfi chooses to invest in only 1% of the more than 9,000 companies that have made financing requests.
Product Structure: In a down exit, Secfi’s product recovers the principle plus additional capital.
Exclusive access to co-investment opportunities
Secfi Asset Management investors will be granted exclusive access co-investment opportunities, being able to increase issuer-specific exposure based on investor’s own discretion.
How the Secfi Financing product works
An employee at a private company needs liquidity ahead of IPO.
The fund gives the employee liquidity using his shares as collateral.
Employee will repay at settlement with compounding interest and a portion of his shares.