AGL offers strategies which invest directly and indirectly 100% in Senior Secured Broadly Syndicated Loans. The products include the Stable Return Strategy, AGL’s CLO strategies, and customized portfolio solutions for insurance companies and other specialized investors. The Stable Return and CLO Strategies are European risk retention compliant.
AGL Investment Strategies
AGL combines its differentiated credit risk investment model together with its expertise in structured credit to provide attractive fund products.
1 AGL Stable Return Strategy:
A Co-Mingled Fund Addressing
Essential Needs of Investors
- Preservation of principal invested
- Unique full-cycle asset class
- The portfolio can self-liquidate as loans are repaid or sold and return targets can be achieved from portfolio cash only, if necessary
- Security and seniority to enable collection of principals in event of stress; can also exit positions by sales
- Insulated from market value price risk and interest rate changes
Stable and Attractive Returns
- Absolute return strategy with robust, stable cash returns, even in stress scenarios
Several drivers generate the returns:
- Cash flows of underlying loan portfolios
- Light leverage with solitary tranche of long-term low cost debt with no market value triggers
- Balance of capitalization is single layer consisting of income share notes; “thickness” of this junior capital layer provides for limited variability of returns
- Ability on recurring basis to take advantage of secondary loan valuation differences plus price volatility
- All investment decisions enhanced by the Private Side Asymmetrical Advantage
- Investable on repeat basis in large size so investors can “move the needle”
- Can enhance benefits to a portfolio due to low correlation to other asset classes
Simplicity and Cost Effectiveness
- Efficient and low cost
- Simple add-on re-subscription feature
- Option for cash distribution or reinvestment
2 CLO Strategies
AGL creates and manages traditional CLOs. AGL aims to be a best-in-class CLO manager partnering with leading global banks. AGL CLO Strategies are European risk retention compliant. AGL’s deep experience in the leveraged loan asset class and private side advantage position it to be a Tier 1 CLO manager. AGL offers investors the opportunity to participate in CLO debt or equity tranches according to their risk appetite.
3 Insurance Strategies
AGL offers a proprietary insurance product created specifically for the unique investment objectives of insurance companies.
4 Separately Managed Accounts
AGL offers separately managed accounts and customized portfolio solutions for institutional investors.
5 Secondary CLO Strategies
AGL offers opportunistic strategies to invest in CLO securities on a secondaries basis.