Brian Seidensticker and Kiah Hochstetler discuss how they built Mount North Capital, a Last Best Partners portfolio company, into a data-driven, technology-enabled real estate investing platform that enables passive real estate investors to access the tax sale investment marketplace.

The firm has strategically positioned itself to capture opportunities during economic slowdowns or downturns, as the tax sale investment market often presents increased opportunities during such periods.

• Mount North Capital aims to offer asset-backed investment opportunities in the distressed property space to passive investors, all supported by data, technology, and a team of experienced real estate professionals.

• Sister company Tax Sale Resources provides users with centralized access to tax sale data, designed to help these real estate investors save time and money while navigating this complex landscape.

• Many of these users are real estate investors, and one of their most significant challenges in pursuing more deals is access to capital.

• Seidensticker and Hochstetler explain Mount North Capital's capital partnership program and how their two-sided solution, which aids both real estate operators and passive real estate investors seeking asset-backed investment opportunities, came together in forming Mount North Capital.

The podcast episode serves as an in-depth exploration of the multifamily investment landscape in Phoenix, featuring insights from Ben Leybovich, co-founder of WhiteHaven. The discussion commences with a contextual overview of Phoenix as a compelling MSA for multifamily investments, emphasizing the city's exponential population growth and the resultant demand for housing. Leybovich details how demographic trends and economic policies converge to create a fertile ground for multifamily real estate investment. He emphasizes the importance of understanding the macroeconomic backdrop that influences real estate dynamics, elucidating factors such as job growth, migration patterns, and construction costs that collectively shape investment opportunities.

As the conversation progresses, the episode delves into WhiteHaven's strategic positioning within this vibrant market. Leybovich shares the firm's approach to identifying undervalued assets and leveraging construction expertise to enhance property value through strategic renovations. He highlights the critical role of thorough due diligence in navigating the complexities of the multifamily sector, especially in a market where competition for quality assets is intensifying. By showcasing real-time examples of WhiteHaven’s investment strategies, Leybovich provides listeners with practical insights into the operational challenges and triumphs inherent in multifamily investments. The episode culminates in a forward-looking perspective, encouraging listeners to consider the long-term potential of investing in Phoenix's multifamily market, backed by WhiteHaven's expertise and local market knowledge.

Takeaways:

• The multifamily investment landscape in Phoenix is particularly appealing due to the confluence of robust population growth and insufficient housing supply, creating a favorable environment for rental price appreciation.
• Ben Leybovich emphasizes that the unique macroeconomic factors in Phoenix, including a stable regulatory framework, contribute significantly to its attractiveness as a multifamily investment destination.
• Whitehaven's investment strategy involves identifying opportunities in both new construction and value-add multifamily properties, particularly focusing on acquiring assets below replacement cost.
• The current economic climate presents a strategic opportunity for savvy investors, as institutional capital remains on the sidelines, allowing smaller firms like Whitehaven to capitalize on discounted properties.
• With the anticipated population growth in Phoenix, projected to rise by approximately 1.2 million by 2030, demand for multifamily housing is expected to surge, emphasizing the necessity for new developments.
• Ben's insights reveal that the construction industry is currently experiencing significant challenges, including escalating costs and labor shortages, which may limit future supply and further enhance rental growth potential.

Links referenced in this episode:

• www.atlalts.com
• www.Whitehaven.com
• www.gpwealthadvisors.com

Companies mentioned in this episode:

• Whitehaven
• ATLalts
• Gramercy Park Wealth Advisors, LLC

This timely ATLalts podcast episode highlights the multifaceted landscape of private credit and alternative investment solutions, with a particular emphasis on the strategic considerations necessary for optimizing portfolio allocations in an increasingly volatile market environment. Our guest, Brook Scardina, Managing Partner - Capital Markets & Investments at Oak Real Estate Partners, brings a wealth of experience from his extensive tenure in institutional investing, where he adeptly navigated the complexities of asset management for noteable foundations and endowments such as UNC Management Company, UPS Pension Plan, and Georgia Tech Foundation.

In a market characterized by recent stock market volatility, daily headlines of tariffs, uncertain fed policy, and fluctuating economic indicators, Scardina argues for the critical importance of incorporating alternative investments and private credit into investment portfolios as a means of enhancing diversification, mitigating risk, and earning attractive risk-adjusted yields, particularly in light of the diminishing returns expected from traditional equity markets. Furthermore, he articulates the structural advantages inherent in certain areas of the private credit space, such as reduced competition and the ability to capitalize on niche lending opportunities in short-duration real estate bridge lending, that larger institutions and banks overlook or can't pursue, thus providing a compelling rationale for investors to re-evaluate their asset allocation strategies. This discussion not only seeks to educate and inform but also to engage listeners in a deeper understanding of how nuanced approaches to private credit can serve as a cornerstone for achieving robust financial outcomes in a fluctuating and rapidly evolving economic landscape.

The conversation delves into the intricate dynamics of private credit as a pivotal component of alternative investment strategies, and how investors can benefit from the different areas of this rapidly growing market. He emphasizes the necessity for investors to reassess their portfolios, particularly in light of the potential for a more protracted low expected return environment from equities and fixed income, advocating for an incremental allocation to private credit as a means of enhancing risk-adjusted returns.

Scardina’s extensive background in managing large-scale investment portfolios for prestigious institutions at endowments, foundations, and corporate pension plans, equips him with the insights necessary to help educate listeners on the growing field and inherent complexities of private credit. He explores the various iterations within the private credit sector, such as subordinated debt and mezzanine financing, highlighting their distinct risk-return profiles. The episode elaborates on OREP's strategic approach to risk mitigation, underscoring the importance of customized financing solutions that align with the specific objectives of institutional investors.

Moreover, Scardina’s case studies during the episode serve as practical illustrations of how OREP effectively addresses the financing needs of borrowers within the real estate private credit space where OREP competes, particularly in sectors where traditional lenders are typically hesitant to engage. This comprehensive examination of the real estate private credit landscape not only highlights the unique opportunities available to smaller, specialized lenders with institutional investor-grade capabilities but also reinforces the critical role these solutions can play in pursuing overall portfolio efficiency.

Takeaways:

• The fundamental role of private credit as an optimal alternative investment, particularly in mitigating portfolio risk and enhancing diversification amidst prevailing market volatility.
• The discussion highlighted Oak Real Estate Partners' strategic approach to structuring highly customized debt solutions in real estate bridge lending, which are designed to align with the investment objectives of institutional and private wealth clients while maintaining a focus on credit risk mitigation.
• A salient point made was the increasing interest in private credit allocations to smaller, specialized, and niche sponsors among institutional investors, driven by the current restrictive lending environment at banking organizations, the larger firms pursuing similar strategies, and the scarcity of capital available for smaller lending opportunities due to the size of publicly traded alternative asset managers.
• Scardina emphasized the necessity of employing a rigorous underwriting process at OREP that mirrors institutional and securitization standards, ensuring the preservation of capital while generating competitive returns for investors.
• The episode underscored the significance of effective communication and education in bridging the gap between institutional and high-net-worth investors regarding alternative investment strategies.
• Scardina's insights on the evolving landscape of capital markets reinforced the importance of niche private credit managers in capturing unique opportunities that larger institutions may overlook or are unable to pursue due to structural disadvantages.

Companies mentioned in this episode:

• Oak Real Estate Partners
• Georgia Tech Foundation
• UNC Management Company
• UPS

This episode of ATLalts features an AI focused conversation with the founders of venture growth equity firm Quartus Capital Partners, co-led by Founder, Managing Partner, and CIO, Al Tarar and Partner, Rizwan Muhammad. Quartus invests in growth-stage AI and technology ventures and aims to transform them into market leaders by applying extensive growth and performance improvement expertise. A special thanks to Mark Dziuba, Managing Director—Distribution, Pinnacle Capital Group for introducing me to Quartus Capital Partners.

The firm, which has garnered recognition as a Private Equity Wire US Emerging Manager Award Winner in 2024, demonstrates an unwavering commitment to harnessing AI-driven solutions aimed at addressing some of society's most pressing challenges across sectors such as healthcare, education, and cybersecurity. Our conversation delves into the intricacies of AI's evolution from rudimentary pattern recognition to the contemporary realm of generative AI and its multifaceted applications across diverse sectors such as finance, logistics, and supply chain. We examine how the firm's investment philosophy, rooted in over three decades of collective expertise, prioritizes growth equity strategies that are meticulously designed to yield attractive risk-adjusted returns, as substantiated by extensive research from Cambridge Associates.

As we engage with the nuances of AI’s transformative potential, we underscore the imperative of not merely seeking out innovative technologies, but rather discerning viable business solutions that substantiate sustainable growth and profitability in an ever-evolving AI market landscape often dominated by hype, soaring private markets valuations, and buzzy media headlines. As we dissect the operational ethos of Quartus Capital Partners, it becomes clear that their investment framework is not merely about capital allocation and asset gathering, or B2C consumer AI bets, but is deeply rooted in a philosophy of fostering B2B innovation employing AI and AI-based software while ensuring sustainable growth in core sectors of the economy.

The episode culminates in a forward-looking perspective on the future of investment in AI, as the founders articulate their vision for leveraging technology to catalyze significant societal advancements, thereby reinforcing the notion that the true value of investment lies in its potential to effectuate meaningful change.

Takeaways:

• Quartus Capital Partners, under the leadership of Al Tarar and Rizwan Muhammad, a team of AI pioneers, technologists, and seasoned operators, explores venture growth equity investing in a rapidly evolving AI landscape often dominated by B2C and consumer AI-related stories and strategies.
• Vertical applications of AI across education, healthcare, finance, security, logistics, and supply chain are often overlooked yet could have a profound impact on these industries and offer unprecedented opportunities for growth equity investors.
• The firm's extensive experience, spanning over three decades, empowers them to navigate the complex landscape of venture growth equity where they are investing in Series B, C, and D stage companies who required additional capital to grow.
• The partners have extensive growth and performance improvement expertise gained from working with some of the world’s largest businesses and believe this is a distinguishing advantage of their platform.
• With a focus on mid-stage technology companies, Quartus Capital Partners seeks to invest in businesses that have established product-market fit and sustainable revenues.
• As the AI domain continues to evolve, Quartus Capital Partners aims to make a global impact by supporting AI and technology companies that address real-world challenges.

Links referenced in this episode:

• quartuscap.com
• Cambridge Associates Research on Growth Equity
• Goldman Sachs Artificial Intelligence Research and Thought Leadership

The information provided herein is for general informational purposes only and does not constitute financial, investment, legal, or other professional advice. It should not be considered a recommendation to purchase or sell any financial instruments or adopt any investment strategies. Past performance is not indicative of future results; all investments carry inherent risks, including the potential loss of principal. Before making any financial decisions, you should consult with a qualified professional who can assess your individual circumstances and objectives. We disclaim any liability for actions taken based on the information provided.​ Andres Sandate is the creator and host of ATLalts and is a financial advisor and Head of Alternative Investments at Gramercy Park Wealth Advisors, LLC. Gramercy Park Wealth Advisors, LLC and GPWA, LLC, Member FINRA/SIPC, are not responsible for this content and the views of the host and the guests are their views only.

On this episode of the ATLalts podcast we explore the burgeoning opportunities in middle market private equity, particularly within the manufacturing sector in the United States, as articulated by the founders of Del Cam Capital. Joining us on the episode are Richard Gibble, Managing Director and Partner, Stephen 'Steve' Trotta, Managing Partner, and Stuart Chanin, Managing Director and Partner. I was joined this episode by the CEO and Founding Advisor of Gramercy Park Wealth Advisors, LLC, Brian Cote. Gramercy Park Wealth Advisors is where I recently affiliated and am building the Atlanta, GA market as a Financial Advisor and Head of Alternative Investments. Not included in the episode but a member of the Del Cam Capital team is Zachari Triner, Partner.

As Head of Alternative Investments at Gramercy Park Wealth Advisors, I meet with alternative investments managers throughout the course of my work to learn more about their strategies and approach to private markets. Brian Cote and I met the Del Cam team in 2024 and we continue to explore opportunities in middle market private equity. The middle market represented 60% of deal flow in 2024 and the U.S. middle market accounts for one-third of the nation's economic output. 99% of middle-market companies are privately held and much like our previous episode with Fruition Capital, bears understanding if you are an investor seeking alternative investment opportunities in equity and credit. It is our view at Gramercy Park Wealth Advisors that private equity focused in the middle market could be particularly well-positioned in a higher for longer interest rate environment and given the Trump administration's domestic policy and fiscal priorities.

On the episode with Del Cam Capital we delve into the concept of a "golden era" for manufacturing, driven by multiple macroeconomic factors and the strategic insights of our guests, Steve, Rich, and Stu. Their collective expertise reveals a transformative approach to private equity investment, emphasizing the importance of operational efficiencies, technological advancements, and the nurturing of enduring relationships within niche markets. Moreover, we examine Del Cam's distinctive methodologies for generating value post-acquisition, leveraging frameworks such as the Entrepreneurial Operating System (EOS) to foster accountability and drive employee engagement. Join us as we unpack these compelling narratives and gain invaluable perspectives on the future landscape of middle market private equity and its role in revitalizing American manufacturing.

The Discussion Covered the Following Topics

1. Introduction of the Team and Building Del Cam as a new Private Equity Platform Focused on Manufacturing
2. The Case for U.S. Manufacturing: A Golden Era
3. Macro Tailwinds for U.S. Manufacturing (particularly relevant with tariffs being enacted in February 2025 with Canada and Mexico)
4. Del Cam's Investment Processes including deal sourcing, due diligence, and post-acquisition value creation
5. Portfolio Highlights of The Shortening Shuttle and Space Age Electronics

Links referenced in this episode:

• delcamcapital.com
• gpwealthadvisors.com
• atlalts.com
• EOS Worldwide

Companies mentioned in this episode:

• Gramercy Park Wealth Advisors, LLC
• Del Cam Capital, LLC
• Fidelity Investments
• Space Age Electronics
• Shortening Shuttle
• EOS Worldwide

Learn more about DelCam Capital, LLC by contacting them:

Del Cam Capital, LLC

101 Arch Street

Boston, MA 02110

www.DelCamCapital.com

Disclaimer

The information provided in the ATLalts podcast and newsletter is for general informational purposes only and should not be construed as financial, investment, tax, or legal advice. This information provided should not be construed as a solicitation or offer to buy or sell any securities or any other financial instruments, financial products, or financial services. The views and opinions expressed in this podcast and newsletter are solely those of the speakers and do not necessarily reflect the official policy or position of ATLalts or its affiliates. All information or data provided is not warranted as to timeliness, completeness or accuracy and is subject to change without notice. Past performance may not be an indication of future results.

Listeners should consult with a qualified professional advisor before making any investment decisions based on the information presented. Gramercy Park Wealth Advisors, LLC and GPWA, LLC, Member FINRA/SIPC are not responsible for any errors or omissions in the content of this podcast and newsletter.

Securities are offered through GPWA, LLC / Member: FINRA & SIPC

The podcast features a deep dive into the world of small business acquisitions, highlighting the significant opportunity presented by the ongoing transfer of ownership from retiring Baby Boomers.

What is acquisition entrepreneurship? It is the practice of searching for and buying established, profitable small businesses - usually from a retiring owner. Fruition Capital invests in these businesses.

I invited Jason Ehrlich, Managing Partner of Fruition Capital on ATLalts to discuss why he believes investing in the acquisition of small businesses can allow investors to take advantage of what he believes are four key factors:

1. Generational transfer of US small businesses owned by Baby Boomers is underway. Greater then 3 million profitable businesses owned by 65+ year-old owners will change hands in the next 5-10 years
2. Attractive acquisition prices of 3x-5x avg. acquisition multiples (of EBITDA) for target businesses.
3. Probability of failure is low as only 2.1% of SBA 7a Business Acquisition Loans defaulted in 2023
4. The Chance of attractive performance is high as 75% of sesarch entrepreneur investors achieved an IRR of 20% according to one study.

Jason Ehrlich, Managing Partner of Fruition Capital, discusses how his firm focuses on investing in B2B companies with stable earnings and a repeat customer base, which he refers to as "enduring profitability." The conversation emphasizes the attractive valuations available in this space, often at 3x-5x multiples of EBITDA, and the low failure rates associated with these businesses, particularly in the context of SBA 7a loans. Ehrlich also elaborates on the unique structure of Fruition Capital, which differentiates itself by partnering closely with entrepreneurs while providing significant capital and operational support. As the episode unfolds, listeners gain insights into the strategies and criteria that make Fruition Capital a leader in this niche market, ultimately aiming to preserve and grow local businesses in communities across the U.S.

The impending retirement of Baby Boomer small business owners creates a unique landscape for investment, one that Fruition Capital is keen to navigate. Jason Ehrlich, managing partner of Fruition Capital, discusses the firm’s distinctive approach to acquiring established B2B companies that showcase not only a history of profitability but also a strong customer base. The podcast sheds light on the economic opportunities that arise from the generational shift in business ownership, particularly in light of the favorable valuations available—typically three to five times EBITDA for these enterprises. With a low default rate of approximately 2.1% on SBA 7(a) loans, the primary financing method for such acquisitions, investors are presented with a compelling case for entering this market.

Ehrlich elaborates on Fruition Capital's stringent investment criteria, underscoring the firm’s commitment to stability and enduring profitability. By intentionally avoiding tech-heavy or cyclically volatile industries, Fruition ensures that its investments are grounded in businesses that have demonstrated resilience over time. The conversation also touches on the structural elements of deals, such as seller notes and equity rollovers, which serve to align the interests of the sellers and the new owners, thus facilitating a seamless transition of leadership while preserving the legacy of these local businesses. This model not only safeguards the interests of investors but also places the entrepreneurs in a position to succeed as they take the reins of these established firms.

Furthermore, the episode highlights the broader societal impact of Fruition Capital's investment strategy. By empowering a new generation of entrepreneurs to take over small businesses, Fruition aims to keep jobs within local communities and foster economic stability. This commitment to community revitalization aligns perfectly with the firm’s investment philosophy, showcasing that financial returns and social responsibility can go hand in hand. As listeners delve into this discussion, they gain a deeper understanding of how strategic investments can not only yield strong financial outcomes but also contribute to the health and vibrancy of local economies.

Takeaways:

• The transfer of small business ownership from Baby Boomers is creating unique investment opportunities.
• Fruition Capital focuses exclusively on B2B companies with established customer bases for stability.
• Investors can benefit from attractive valuations, often at 3x-5x EBITDA multiples.
• The default rate for SBA loans used in acquisitions is impressively low at 2.1%.
• Jason Ehrlich emphasizes the importance of investing in enduringly profitable businesses with longevity.
• The podcast highlights the need for experienced entrepreneurs to guide successful acquisitions.

Companies mentioned in this episode:

• Fruition Capital
• Gramercy Park Wealth Advisors, LLC
• GPWA, LLC, Member FINRA/SIPC

Drew Holley, Managing Partner of BIS Benefits, emphasizes the critical importance of employee benefits and health insurance in today's competitive business landscape, where retaining top talent is paramount. With a focus on serving clients with excellence, BIS Benefits has evolved into a one-stop shop for group health and business insurance since its inception in 1997. Drew shared how investing in growing and developing people and the organizational focus on mission, vision, and core values at BIS has allowed the firm to grow significantly. Drew shares insights on the growing need for businesses to review and adapt their insurance strategies, start the renewal process early, especially in a time of rising costs and changing market dynamics, and work with a trusted advisor. He highlights the significance of fostering strong relationships between business owners and their insurance advisors, ensuring proactive communication and support during critical moments. Listeners will gain valuable advice on navigating the complexities of employee benefits and the impact of proper coverage on workforce satisfaction and retention.

Takeaways:

• Understanding the true costs of health insurance is essential for business owners today.
• Drew explains that affordability of healthcare plans directly impacts employee satisfaction and retention.
• People are everything to a business and by far the most critical asset. One of the most important factors employers can easily overlook is the importance of employee benefits.
• The insurance industry is evolving, with technology playing a crucial role in operations.
• More private equity has entered the space than ever before on both the brokerage and client side.
• BIS Benefits focuses on building relationships and providing exceptional service to their clients.
• Becoming the trusted advisor transforming each organization's approach, design and implementation of healthcare is the vision of BIS
• BIS seeks to be a place where growth on the professional and personal level can take place and puts a significant emphasis on community, giving back, family, and more
• Hiring for values and personality fit is more important than industry experience in the insurance field.

Links referenced in this episode:

• bisbenefits.com

Companies mentioned in this episode:

• BIS Benefits
• State Farm
• Liberty Mutual
• Blue Cross
• Aetna
• United
• Travelers
• Hartford
• Innovative Outsourcing
• United Benefit Advisors

Unlocking financial value through alternative credit is a central theme in this engaging conversation with Sreeni Prabhu, co-founder, Managing Partner, Co-CEO, and Group Chief Investment Officer at Angel Oak Capital. With a keen focus on the structured credit space, Sreeni discusses how Angel Oak, one of the largest securitizers of non-qualified mortgages in the nation, skillfully navigates market dynamics to create strategic long-term value for investors. He highlights the current opportunity in mortgage-backed securities (MBS), as inflation stabilizes and interest rates are expected to decline, presenting a historic chance to enhance fixed-income allocations. Furthermore, Sreeni elaborates on the burgeoning second lien mortgage market, emphasizing the significant equity homeowners possess and the untapped potential for strategic financing solutions. Through this episode, listeners will gain insights into the evolving landscape of fixed income and the innovative approaches that Angel Oak employs to meet the needs of both institutional and individual investors.

Sreeni Prabhu, co-founder, Managing Partner, Co-CEO and Group Chief Investment Officer of Angel Oak Capital, shares his insights on alternative credit and the unique opportunities within the non-qualified mortgage sector during his conversation with ATLalts host and creator Andres Sandate. Beginning with his personal journey, Srinivas recounts his transition from a tennis player in India to a prominent figure in finance, highlighting the importance of networking, resilience, and a willingness to pursue an unconventional path. He emphasizes Angel Oak's strategic positioning as a leader in the mortgage-backed securities market, particularly in non-QM loans, and how the firm's comprehensive investment platform creates long-term value for its clients.

As the discussion progresses, Sreeni delves into the current economic landscape, noting the potential for fixed-income investments amid declining interest rates and controlled inflation. He points out that mortgage-backed securities are trading at historically attractive spreads, presenting a compelling case for investors. The conversation underscores the significance of education in the financial sector, with Sreeni advocating for transparency and trust-building between Angel Oak and its clients. This commitment to educating advisors and investors is a cornerstone of the firm's strategy.

The episode also explores the emerging second lien mortgage market, where homeowners can leverage their home equity for various financial needs. Sreeni highlights the substantial addressable market, estimated at $1.6 trillion, and discusses how Angel Oak is prepared to meet this demand with innovative financial products. As the episode concludes, Sreeni shares his vision for the future of Angel Oak Capital, emphasizing the need for a patient, long-term approach to investing in the ever-evolving financial landscape.

Takeaways:

• Sreeni Prabhu's journey from India to Milledgeville, GA to leading a $20 billion asset management firm is inspiring for anyone pursuing their professional and personal interests, regardless of industry or career.
• Angel Oak's unique position in the mortgage-backed securities market offers compelling investment opportunities.
• The firm emphasizes a long-term perspective, focusing on sustainable growth and risk management.
• Understanding the second lien mortgage market can provide valuable insights for financial advisors.
• Investing in non-qualified mortgages offers significant potential returns in the current economic climate.
• Angel Oak's commitment to education and transparency enhances relationships with investors and advisors.

Links referenced in this episode:

• angeloakcapital.com

Companies mentioned in this episode:

• Angel Oak Capital
• Angel Oak Mortgage REIT
• SunTrust Bank
• Washington Mutual
• Fannie Mae
• Freddie Mac

The primary focus of this discourse revolves around the intricate dynamics of life settlements as an alternative asset class with our guest Jay Jackson, the Chairman and CEO of Abacus Life. We embark upon a comprehensive exploration of the uncorrelated nature of life insurance products, which stand in stark contrast to traditional investment vehicles, thus presenting an opportunity for diversification within investors' portfolios. Jackson expounds upon the significant misconception that life insurance is merely a debt obligation rather than a tangible asset with a calculable net present value, a perspective that could fundamentally reshape financial planning practices. We delve into the regulatory advancements that have fortified the life settlement market, thereby enhancing consumer protections and enabling greater access for institutional investors. Ultimately, this episode serves as a clarion call for financial advisors and individual policyholders alike to recognize the latent value within life insurance policies, advocating for a paradigm shift in how these instruments are perceived and utilized in the broader landscape of wealth management.

Jay Jackson, Chairman & CEO of Abacus Life (NASDAQ: ABL) joined ATLalts today to discuss life settlements. Jay has deep expertise in alternative assets and leads a company that has purchased over $4.6 billion in life insurance policies and helped thousands of policy holders maximize their value. Jay is a life settlements industry trailblazer as Abacus Life is the ONLY pure play, publicly traded life settlement company. Abacus recently acquired Carlisle Management Company for $200 million, making ABL the largest life settlement company in the world. On August 7, 2024 Abacus announced the acquisition of FCF Advisors. Press release below:

https://www.globenewswire.com/news-release/2024/08/07/2926361/0/en/Abacus-Life-Announces-Agreement-to-Acquire-FCF-Advisors.html

Finally, Jay is an innovative thought leader and a contributing author of ‘Pursuing Wealthspan,’ a book that discusses how individual lifespan affects wealth, and recently hosted a longevity summit that brought together some of the top minds in the industry. To learn more about Abacus Life you can visit the company's website at: https://abacuslifesettlements.com/

The dialogue presented within the ATL Alts podcast encapsulates an exploration of the alternative asset landscape, specifically emphasizing the intricacies and strategic advantages of life settlements as a compelling investment avenue. With the distinguished Jay Jackson, Chairman and CEO of Abacus Life, as a guest, the conversation delves into the multifaceted aspects of life insurance as an asset class. Jackson articulates the concept of life settlements being inherently uncorrelated to traditional financial markets, thereby offering a unique risk-reward profile that can significantly enhance portfolio diversification. He elucidates the fundamental issues surrounding accessibility to these assets, highlighting the barriers that both investors and policyholders face. By employing sophisticated actuarial data and mortality projections, Jackson underscores the necessity for financial advisors to educate their clients on the value inherent within life insurance policies, which are often misperceived as mere liabilities rather than valuable assets.

Takeaways:

• The discussion emphasizes the significance of comprehending the true market value of life insurance policies, as most individuals perceive them erroneously as mere debts rather than legitimate assets.
• Jay Jackson elucidates on the critical nature of lifespan data in financial planning, asserting that it fundamentally alters how advisors should approach their clients' future needs and investments.
• Listeners are informed that a staggering $13 trillion is currently in force within the life insurance market, yet only a mere 10% of policies are projected to ever pay a claim, highlighting the necessity for increased awareness and education.
• The podcast underscores the transformative potential of alternative assets, particularly life settlements, which are presented as uncorrelated investment opportunities that can substantially diversify portfolios for investors.
• Abacus Life's innovative approach aims to empower policyholders by elucidating the net present value of their insurance contracts, thereby fostering a paradigm shift in how these assets are perceived and utilized.
• The conversation reveals how regulatory changes over the past two decades have enhanced consumer protections in life settlements, encouraging institutional interest and investment in this previously obscure asset class.

Links referenced in this episode:

• abacuslife.com

Companies mentioned in this episode:

• Abacus Life
• Franklin Templeton
• BlackRock
• FCF Advisors

Marissa Kim is Head of Asset Management at Abra Capital Management (ACM), a SEC-registered investment advisor and subsidiary of Abra, a global platform for digital asset prime services and wealth management. In April 2024, Abra announced the launch of Abra Private (led by Marissa), which provides HNWIs, financial advisors, trusts, and family offices with a comprehensive suite of digital asset & wealth management solutions (all of which are powered by their expertise in DeFi – a key differentiator of the firm:

Trade & Invest

Clients can buy and sell 100+ digital assets with deep liquidity and low slippage through Abra including both crypto/fiat and crypto/crypto pairs

Earn Yield

Abra offers a variable yield on BTC, ETH, SOL and stablecoins through separately managed accounts (SMAs).

Borrow

Clients can borrow against their digital asset collateral to unlock liquidity.

Customized Investment Strategies

For more sophisticated clients, Abra can create customized delta-neutral portfolio strategies combining DeFi trading, lending and market-making.

Abra’s RIA operates a separately managed account model, this is crucial for transparency and security, as clients are not liabilities on Abra’s balance sheet, and they retain title to their assets (i.e. they are never commingled – which has been a historic issue in crypto).

Before Abra, Marissa founded Quantum Global Management, an investment firm focused on thematic investment in the building blocks of Web 3 and lending and DeFi strategies in digital assets and cofounded Ark Advisors, an advisory and investment firm focused on the digital asset space.

Many HNWIs and accredited investors investing in crypto either hold bitcoin/ether or the spot ETFs, however, Abra Private is trying to educate sophisticated investors on how DeFi is powering a holistic set of asset and wealth management solutions that are better suited to the needs of sophisticated investors.

Firm Summary

Abra is a global platform for digital asset prime services and wealth management, leveraging trusted DeFi expertise to connect the on-chain and off-chain ecosystems for private clients and institutions. By integrating trading, borrowing, lending, yield services, and asset management into one offering, all underpinned by institutional risk management, Abra provides clients with actionable insights and a competitive edge. Abra’s client base includes a diverse range of private clients, family offices, hedge funds, venture capital, and crypto infrastructure firms.