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Pin to quick picksAlpha Growth Regulatory News (ALGW)

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Launch of Innovative Hybrid Product

6 Feb 2018 07:00

RNS Number : 9840D
Alpha Growth PLC
06 February 2018
 

Alpha Growth plc

("Alpha", or the "Company")

 

Launch of Innovative Hybrid Product

 

Alpha Growth plc (LSE: ALGW), a financial services specialist in the growing Senior Life Settlement ("SLS") asset class, is pleased to announce the launch of its own Hybrid security. The completion of the security into its marketable structure was finalised this month. Alpha was advised under engagement on the structure of the security by our advisors from one of the "Big Four" accounting firms' London offices and Actuarial Risk Management of Austin, Texas.

Alpha is offering the security to insurers and institutional investors, providing an attractive risk yield over a 10-year term with minimal correlation to conventional equity and commodity markets. It is called the High Yield Return ("HYR") Security and is a debt equity hybrid investment, coupled with risk management and quality-rated collateral that provides diversity and safety in return to a range of investors and insurers.

The HYR security is expected to provide an attractive investment opportunity for insurers and other organisations with annuity-like cash flows that have Asset Backed Security allocations. Based on analysis conducted by its advisors and specifically the Big Four accounting firm, regulated insurers under Solvency II could generate Matching Adjustment compliant assets with significant capital saving compared to an equivalent BBB bond.

HYR was developed by Alpha after surveying financial institutional investors who were highly regulated and particularly disciplined in their investment methodology. These investors require a product that will have minimal impact on their regulatory capital requirements yet provide predictable, attractive and minimally-correlated returns with complete transparency in management.

Gobind Sahney, Executive Chairman of Alpha, commented:

"We are delighted to announce this unique and innovative investment structure with our respected advisors and have already commenced discussions with insurers in the UK."

 

 

For more information, please visit www.algwplc.com or contact the following:

 

 

Alpha Growth plc

+44 (0) 207 467 1700

Gobind Sahney, Executive Chairman 

info@algwplc.com

Cassiopeia Services (PR/IR)

+44 (0) 7949690338

Stefania Barbaglio

Stefania@cassiopeia-ltd.com

 

 

 

About Alpha Growth plc

Specialist in Longevity Assets

Alpha Growth plc is a financial advisory business providing specialist consultancy, advisory and supplementary services to institutional and qualified investors globally in the multi-billion dollar market of longevity assets. Building on its well-established network, Alpha Growth has a unique position in the longevity asset services and investment business as a listed entity with global reach. The Company's strategy is to expand its advisory and business services via acquisitions and joint ventures in the UK and the US to attain commercial scale and provide holistic solutions to alternative institutional investors who are in need of specialised skills and unique access to deploy their financial resource in longevity assets.

 

 

This information is provided by RNS
The company news service from the London Stock Exchange
 
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