Active Management

Balmain’s investment process is built upon the construction and active management of secured private debt portfolios that are granular with respect to size of loan, sector, location, borrower and loan type. The following in-house activities are integral to the investment process:

  • Portfolio construction and management processes designed to achieve and maintain the desired asset mix and diversification
  • Origination of reliable streams of high-quality secured loan investment opportunities
  • Identification and acquisition of advantageously mispriced credit risk
  • Management of multi-dimensional loan pricing (establishment fees, margins, default fees, early repayment fees, etc.) to ensure alignment and maximize the economic benefits to investors
  • Active credit, repaying and re-lending management to minimize cash levels and to ensure that all loans mature within the fund term
  • Active credit monitoring to predict and proactively manage defaults
  • Dedicated asset management and recovery function
  • Detailed and transparent reporting and loan management systems.