Cash Flow Finance (Luxury)

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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. 

 

 

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INVESTMENT MANAGER Delgatto Capital Group, LLC
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