Click here to close now.




















Welcome!

News Feed Item

Mariner Investment Group Closes $450 Million In New Infrastructure Investment Strategy

Innovative Investment Solutions To Provide Regulatory Capital Relief To Global Project Finance Banks in Light Of More Stringent Financial Regulations

NEW YORK, Jan. 21, 2014 /PRNewswire/ -- Mariner Investment Group, the global alternative asset manager, today announced that it has closed on two new client mandates, launching Mariner Infrastructure Investment Management ("MIIM"), Mariner's bank deleveraging and regulatory capital management investment business.  MIIM serves as portfolio manager for two investment vehicles:  the International Infrastructure Finance Company Fund, LP, a $350 million comingled fund ("IIFC"), and Mariner Breakwater, LP, a $100 million fund-of-one.  MIIM aims to take leveraged exposure to loans, bonds, and other debt instruments associated with global infrastructure, energy, and transportation assets.  Target investments are designed to enable banks to manage their balance sheet in light of new financial regulations, providing them with risk-transfer tools that optimize and enhance their regulatory capital and funding requirements.   

Mariner established MIIM in an effort to capitalize on the opportunity set created by two significant investment themes: (1) tightened Basel III standards which have caused a dramatic shortfall in regulatory capital at banks, likely to persist over the next several years, and (2) an urgent need for additional infrastructure finance in markets around the globe.

The MIIM team's primary investment strategy will provide credit protection against certain losses in specific infrastructure loan portfolios. Mariner selects assets for these investments based on strict credit underwriting criteria, coordinated by a highly experienced in-house team with significant infrastructure investment expertise. By working with Mariner on the provision of credit enhancement on a loan portfolio, a bank may typically reduce its Basel III risk exposure, freeing up its balance sheet to be redeployed by the bank to help grow businesses or to off-set other capital needs.  In exchange for providing the loss protection, the participating vehicle and its investors would typically expect to receive a portion of the loan spread for the life of the credit protection.   

"Our new infrastructure investment mandates provide global project finance banks with innovative, customized, and attractive solutions for the management of risk weighted assets in their infrastructure, power, and transport loan books, thereby addressing a critical and unmet need within the financial sector," said Bracebridge Young, Mariner's Chief Executive Officer. "We're hopeful that the uptake will be strong; on the back of IIFC's initial close, we have already completed our first investment with a major European project finance bank."  

Commitments to our initial products and investor mandates reflect strong investor interest.  Investors include a diverse group of institutional investors, including public and private pension funds, a large charitable trust, and affiliates of Mariner for their own accounts.  Over a half dozen institutional investors participated in the initial capitalization of the vehicles, the majority of which are first time investors with Mariner. 

Mr. Young continued: "Mariner will continue to provide our investors with an attractive, timely, and value-added investment opportunity, reflecting our unique combination of asset class expertise and structured credit know-how. In addition, like all of our investments, this line of business is supported by Mariner's rigorous, best-in-class risk management and strong credit culture."   

MIIM's management team is led by Andrew Hohns, who oversees a group of six dedicated investment professionals with more than 90 years of combined experience in infrastructure finance.

Dr. Hohns commented: "The magnitude of the capital requirements for banks substantially exceeds available capacity in equity markets. Banks are currently developing alternative strategies to meet these stringent new demands, and this business initiative is designed to be a flexible partner to banks to assist them in meeting the new requirements. From an investor standpoint, we have initially focused on providing these solutions with infrastructure as the target asset class because of its relative stability: we build our fundamental underwriting views on a number of factors with a particular focus on good historical credit experience, consistently low default rates, and high recoveries across a range of market cycles, regions, and industry sectors."

Mariner Furthers its Commitment to Socially Responsible Investment

The launch of this business serves as a further demonstration of Mariner's on-going commitment to impact investing, both indirectly and directly. The strategy's investments are designed to enable banks to expand their lending to the infrastructure sector by freeing up regulatory capital for balance sheet growth, while at the same time, Mariner has committed to donate five percent of the management fee it receives from this investment strategy to the UNICEF Bridge Fund, a financial tool that enables UNICEF to fast-track lifesaving assistance for children in emergency situations.

Mr. Young commented, "An important and intended by-product of this business venture is to facilitate substantial new infrastructure finance and development. We believe that this urgent need can be addressed in part by freeing up additional bank capital to fund vital projects around the globe, but this alone is unlikely to meet infrastructure needs in less developed places. To that end, we decided to allocate a portion of our management fee from the strategy to the UNICEF Bridge Fund in recognition of the needs of children in these areas."

"We applaud Mariner for its dedication to socially responsible investing and for its support of UNICEF's efforts to save and protect children living in the most dire of circumstances," said Edward G. Lloyd, Chief Operating Officer and Chief Financial Officer of the U.S. Fund for UNICEF, which created and manages the UNICEF Bridge Fund. "Mariner's commitment to allocate a percentage of its management fee to the UNICEF Bridge Fund represents an innovative model for financial institutions and investment funds—one that will pay dividends for vulnerable children all over the world by helping ensure medicine, vaccines, therapeutic food, and other vital supplies reach those in need as quickly as possible."

Today's announcement is the latest demonstration of Mariner's commitment to supporting socially responsible investment.  This past fall, Mariner became a signatory to the United Nations-supported Principles for Responsible Investment (PRI) and announced that it would begin to incorporate environmental, social, and governance (ESG) research, ratings, and screening tools into one of the firm's more significant client mandates.

About Mariner Investment Group, LLC

Mariner Investment Group, LLC, is an SEC registered investment adviser and manages approximately $10 billion of assets together with its associated advisers consisting of several direct and affiliated single and multi-strategy hedge funds, funds of funds and other alternative investments services.  Founded in 1992, Mariner and its associated advisers employ approximately 230 people in New York, Boston, London, Tokyo, Seoul, Philadelphia, Harrison (NY) and Rowayton (CT).

For Media Inquiries:
David Press
Tel: (917) 721-7046
[email protected]

SOURCE Mariner Investment Group

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
As more and more data is generated from a variety of connected devices, the need to get insights from this data and predict future behavior and trends is increasingly essential for businesses. Real-time stream processing is needed in a variety of different industries such as Manufacturing, Oil and Gas, Automobile, Finance, Online Retail, Smart Grids, and Healthcare. Azure Stream Analytics is a fully managed distributed stream computation service that provides low latency, scalable processing of ...
Too often with compelling new technologies market participants become overly enamored with that attractiveness of the technology and neglect underlying business drivers. This tendency, what some call the “newest shiny object syndrome,” is understandable given that virtually all of us are heavily engaged in technology. But it is also mistaken. Without concrete business cases driving its deployment, IoT, like many other technologies before it, will fade into obscurity.
Puppet Labs has announced the next major update to its flagship product: Puppet Enterprise 2015.2. This release includes new features providing DevOps teams with clarity, simplicity and additional management capabilities, including an all-new user interface, an interactive graph for visualizing infrastructure code, a new unified agent and broader infrastructure support.
With the proliferation of connected devices underpinning new Internet of Things systems, Brandon Schulz, Director of Luxoft IoT – Retail, will be looking at the transformation of the retail customer experience in brick and mortar stores in his session at @ThingsExpo. Questions he will address include: Will beacons drop to the wayside like QR codes, or be a proximity-based profit driver? How will the customer experience change in stores of all types when everything can be instrumented and a...
Consumer IoT applications provide data about the user that just doesn’t exist in traditional PC or mobile web applications. This rich data, or “context,” enables the highly personalized consumer experiences that characterize many consumer IoT apps. This same data is also providing brands with unprecedented insight into how their connected products are being used, while, at the same time, powering highly targeted engagement and marketing opportunities. In his session at @ThingsExpo, Nathan Trel...
SYS-CON Events announced today that HPM Networks will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. For 20 years, HPM Networks has been integrating technology solutions that solve complex business challenges. HPM Networks has designed solutions for both SMB and enterprise customers throughout the San Francisco Bay Area.
Cloud and datacenter migration innovator AppZero has joined the Microsoft Enterprise Cloud Alliance Program. AppZero is a fast, flexible way to move Windows Server applications from any source machine – physical or virtual – to any destination server, in any cloud or datacenter, using its patented container technology. AppZero’s container is also called a Virtual Application Appliance (VAA). To facilitate Microsoft Azure onboarding, AppZero has two purpose-built offerings: AppZero SP for Azure,...
WSM International, the pioneer and leader in server migration services, has announced an agreement with WHOA.com, a leader in providing secure public, private and hybrid cloud computing services. Under terms of the agreement, WSM will provide migration services to WHOA.com customers to relocate some or all of their applications, digital assets, and other computing workloads to WHOA.com enterprise-class, secure cloud infrastructure. The migration services include detailed evaluation and planning...
SYS-CON Events announced today that G2G3 will exhibit at SYS-CON's @DevOpsSummit Silicon Valley, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Based on a collective appreciation for user experience, design, and technology, G2G3 is uniquely qualified and motivated to redefine how organizations and people engage in an increasingly digital world.
A producer of the first smartphones and tablets, presenter Lee M. Williams will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ETwater. In his session at @ThingsExpo, Lee Williams, COO of ETwater, will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ET...
SYS-CON Events announced today the Containers & Microservices Bootcamp, being held November 3-4, 2015, in conjunction with 17th Cloud Expo, @ThingsExpo, and @DevOpsSummit at the Santa Clara Convention Center in Santa Clara, CA. This is your chance to get started with the latest technology in the industry. Combined with real-world scenarios and use cases, the Containers and Microservices Bootcamp, led by Janakiram MSV, a Microsoft Regional Director, will include presentations as well as hands-on...
SYS-CON Events announced today that Micron Technology, Inc., a global leader in advanced semiconductor systems, will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Micron’s broad portfolio of high-performance memory technologies – including DRAM, NAND and NOR Flash – is the basis for solid state drives, modules, multichip packages and other system solutions. Backed by more than 35 years of tech...
This Enterprise Strategy Group lab validation report of the NEC Express5800/R320 server with Intel® Xeon® processor presents the benefits of 99.999% uptime NEC fault-tolerant servers that lower overall virtualized server total cost of ownership. This report also includes survey data on the significant costs associated with system outages impacting enterprise and web applications. Click Here to Download Report Now!
SYS-CON Events announced today that Pythian, a global IT services company specializing in helping companies leverage disruptive technologies to optimize revenue-generating systems, has been named “Bronze Sponsor” of SYS-CON's 17th Cloud Expo, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Founded in 1997, Pythian is a global IT services company that helps companies compete by adopting disruptive technologies such as cloud, Big Data, advance...
It’s been proven time and time again that in tech, diversity drives greater innovation, better team productivity and greater profits and market share. So what can we do in our DevOps teams to embrace diversity and help transform the culture of development and operations into a true “DevOps” team? In her session at DevOps Summit, Stefana Muller, Director, Product Management – Continuous Delivery at CA Technologies, answered that question citing examples, showing how to create opportunities for ...