Marble Point Loan Financing

Cash flow still strong

23 November 2020

Marble Point Loan Financing (MPLF) is a closed-end fund that invests in leveraged loans mostly by buying the equity tranches in collateralised loan obligations (CLOs) managed by Marble Point Credit Management (Marble Point). The experienced credit investment team employs a conservative, disciplined approach. Unlike most of its peers, MPLF marks its portfolio to market, which resulted in considerable NAV volatility during the pandemic. NAV halved during Q120 but subsequently rose by nearly 50%. However, although loan defaults have risen in its underlying portfolio, cash flow generation has remained strong. After suspending its dividend in April 2020, reinstated it in August and the shares now offer a yield of 15.1%. MORE »

Dividend suspended

15 April 2020

Marble Point Loan Financing (MPLF) is temporarily suspending its dividend due to the impact of COVID-19.The recent economic disruption has resulted in rating agencies downgrading the underlying collateral of MPLF’s collateralised loan obligations (CLOs) at a pace that could trigger its need to make provisions. The heightened risk is above that modelled by MPLF and could affect cash flow. MPLF’s policy is to maintain a well-funded dividend. In the last five quarters cash distributions have exceeded dividends by a good margin. With the total impact of COVID-19 uncertain, management believes it is prudent to preserve cash now, which will provide more flexibility for when dislocations in the credit market provide good investment opportunities. MORE »

Solid cash flow

18 October 2019

Marble Point Loan Financing (MPLF) is a closed-end fund that invests in leveraged loans via collateralised loan obligations (CLOs) and loan accumulation facilities (LAFs) managed by Marble Point Credit Management (Marble Point). The experienced credit investment team employs a conservative, disciplined approach. MPLF’s mark-to-market pricing approach directly reflects market volatility and this was notable during the November-December 2018 selloff, when MPLF underperformed its peers. However, its underlying portfolio has been largely unaffected and cash flow generation remains strong. MPLF’s H119 interims showed a 13.5% annualised net investment income backing its 10.1% dividend yield. MORE »

Executive Interview - Marble Point Loan Financing

4 June 2019

In this webcast, Marble Point founder and CEO Tom Shandell discusses MPLF’s long-term objectives and its investment process, highlighting its differentiating features relative to other CLO investment vehicles. He also explains how MPLF’s monthly NAV calculation differs from that of other CLO vehicles. He then gives his perspective on recent media commentary relating to leveraged loan and CLO markets and comments on how these markets have progressed since Q418. Marble Point Loan Financing (MPLF) is a leveraged loan and collateralised loan obligation (CLO) specialist closed-end fund that launched in August 2016, with its shares traded on the Specialist Fund Segment of the London Stock Exchange since February 2018. The experienced investment team employs a conservative, disciplined, long-term approach aiming to achieve a low- to mid-teens percentage return on equity, including a stable high level of income to support a consistent quarterly dividend distribution. MORE »

Disciplined leveraged loan investment specialist

1 March 2019

Marble Point Loan Financing (MPLF) is a specialist closed-end fund that invests in leveraged loans directly and indirectly via collateralised loan obligations (CLOs) and loan accumulation facilities (LAFs) managed by Marble Point Credit Management (Marble Point). The experienced credit investment team employs a conservative, disciplined approach, seeking to achieve a low- to mid-teens percentage return on equity (ROE) over the long term. Performance has been mixed since MPLF’s initial public offering (IPO) in February 2018, with its mark-to-market pricing approach directly reflecting recent market volatility. However, its underlying portfolio has been largely unaffected and cash flow generation remains strong, allowing the manager to take advantage of attractive investment opportunities. MORE »