Cash Flow Finance (Luxury)


Fund Portrait
Due to tightening capital restrictions, commercial banks are leaving the middle market segment for high-end diamond and jewelry companies. The DELGATTO Diamond Finance Fund (DDFF) is uniquely positioned to enter and fill this lending gap. DDFF is an institutional specialty finance firm, entirely focused on extending fully collateralized loans to the midstream diamond industry, which is defined as the 15,000 companies including wholesalers, cutters, among other participants. The Fund issues loans to the luxury sector by taking hard assets as security. The LTV is between 50-75% of the liquidation price for the assets. The assets are stored and secured with Ferrari Express Inc., one of the biggest third-party vault providers in the world. Once the loan has been reimbursed, the goods are released and returned to the loan customer. The Fund targets a return of 7% + p.a. Duration of the loans is 3-6 months. With monthly liquidity on 90 days notice, the fund's liquidity terms match the asset profile.

INVESTMENT MANAGER | Delgatto Capital Group, LLC |
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LINKEDIN COMPANY PAGE | DelGatto Diamond Finance Fund |
FUND | DelGatto Diamond Finance Fund |
TYPE STRUCTURE | Cayman Islands (OEIC), Open-Ended |
DOMICILE | Cayman Island |
LAUNCH DATE | December 2018 |
DISTRIBUTOR SWITZERLAND | OpenFunds Investment Services AG (Switzerland) |
AUDITOR | Cohn Reznick |
CUSTODIAN | DGA Security |
REGULATOR | Cayman Islands Monetary Authority (CIMA) |
PAYING AGENT SWISS | Società Bancaria Ticinese SA (Switzerland) |
GEOGRAPHY | Primarily US |
STRATEGY | Direct Lending/Trade Finance |
CURRENCY | USD |
INITIAL CHARGES | 0% |
MINIMUM SUBSCRIPTIONS | Institutional share class: 3,000,000 USD, Retail share class: 100,000 USD |
LIQUIDITY | Monthly with 90 days' notice |
MANAGEMENT FEE | Institutional share class: 1%, Retail share class: 2% |
PERFORMANCE FEE | 20% |
FUND SIZE | USD 80 m |
MANAGER TRACK RECORD | Available upon request |
ISIN | Please refer to the factsheets |