Providing investors access to attractive returns from working capital finance with minimum risk
ZURICH, Switzerland; 8 October 2020
Pactum AG, a FINMA regulated asset manager in receivables finance successfully launched the Pactum Corporate Capital Fund (PCCF) in close collaboration with Credit Suisse (Switzerland) Ltd as the main custodian bank. The fund provides liquidity to Europe’s leading brands by purchasing high-quality receivables directly from the seller. The broadly diversified portfolio aims to generate attractive risk premia from receivables with short-term maturities (30-90 days) and low default rates (<0.5%), targeting an annual net return of 3%.
The fund, an Irish Qualified Investor AIF, successfully launched with investments from several banks, asset managers and family offices, targets institutional, professional and qualified investors looking for an attractive alternative to cash and bonds in CHF, EUR and USD. PCCF offers steady positive returns with minimal risk as a result of fair risk premiums on credit insured corporate investment-grade collateral, short portfolio duration and monthly liquidity.
“Corporate private debt is one of the fastest-growing alternative asset classes. Asset-backed receivables finance offers the best investment opportunities in the space with regards to its risk/return profile. We see significant value in receivables finance providing liquidity and growth opportunities for companies to fuel the economic recovery. At the same time, we offer investors fair and consistent compensation from adequate risk premiums, strong diversification and safe collateral as security,” said Joscha Rosenbauer, founder and Managing Partner of Pactum. “Our team’s unique, specialized expertise and access to the underserved segment of receivables finance puts us ahead of the curve in identifying the best investment opportunities.”
The fund’s strategy takes advantage of the fact that structural niches are emerging in the financing markets due to the ongoing tightening of regulation in the bank lending business, higher capital adequacy requirements, rising costs, and increasing risk management requirements. These create attractive opportunities for specialised, flexible capital providers outside the banking sector and for qualified investors looking for investments with an above-average risk/return profile.
About Pactum AG
Pactum is a pioneer in Swiss receivable finance and the sole FINMA regulated asset manager and provider of a European, receivables-based fund solution managed out of Switzerland. Pactum has a team of seasoned experts operating in close collaborating with premium partners such as Credit Suisse, TMF Group, PWC, KPMG and Coface. It is Pactum’s vision to be the leading Swiss provider of working capital finance and investment solutions for industry leaders and investors in Switzerland and the rest of Europe.
Disclaimer: The information contained herein is of general nature and does not constitute an offer or invitation to subscribe for or to purchase fund units or shares. This document has been prepared by Pactum AG and is aimed at qualified investors in Switzerland who are not US persons. None of the fund manager, the registrar and transfer agent, the administrator or the depositary of the Fund has independently verified any information contained herein. No party makes any representation or warranty as to the accuracy, completeness, or reliability of such information. No liability is accepted for any such information contained herein.