Niche Investment Strategies
Global Trade Finance
Private Debt Finance
Global trade finance is more than just a niche product – it is the backbone of international trade and is becoming increasingly important as an asset class.
Trade and private debt finance connect the real economy with capital markets. For investors seeking short-term, transparent, and well-secured cash flows, this investment form offers a highly functional complement – with growing relevance in an increasingly fragmented global economy.
While traditional bonds and equities suffer from fluctuations due to geopolitical uncertainties, interest rate movements and economic cycles, trade finance and private debt financing offers investors a largely stable, short-term and secured investment profile.
The financing gap of around USD 2.5 trillion annually, especially in developing and emerging countries, also underlines the long-term growth potential of global trade finance, both from an economic and development strategy perspective.
On one hand the strategies focuse on shorter-term opportunities in commodity-based and general trade finance and on the other hand on loans for companies and private persons, with an emphasis on transactions that offer a high level of security and liquidity that is deemed appropriate.
The strategies covers different types of activities such as structured commodity trade financing as well as the funding of shorter-term receivables and invoicing financing.
The strategies focuse geographically on Asia/Pacific and Africa.
The expected return is 6 - 8% pa with an annual volatility of 0.24%.
Investment Strategies
Niche Investment Strategies
Global Trade Finance/Private Debt Finance
The Global Trade Finance and Private Debt Financing market is estimated to be around $10 - 13 trillion (2024/2025) a year and shows an average annual growth rate between 4 - 6%.
Global Trade Finance and Private Debt Financing play a critical role in international trade by providing financial products and services that facilitate cross-border transactions.
According to the World Bank, approximately 80 to 90% of global trade relies on trade finance and private debt finance.
Global Trade Finance and Private Debt Financne have a low volatility, generate regular and stable cash flows physicly secured and are an ideal diversification to traditional asset classes like bonds or equities.
The average return expectation with focus is between 6 - 8% pa
