Services
As an active player in the life settlement market, Q Capital has exposure to all aspects of the life settlement market and has deep insights into current trends and market participants. This perspective gives us an unparalleled expertise that we pass along to our advisory services clients.
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Through its activities as an advisor and operator, the company keeps abreast of all of the past, present, and expected future activities in the industry. The Company also quickly sees pricing and valuation trends through its provider activities and tertiary market sourcing and origination.
Q Capital leverages the experience and expertise from its policy origination activities, but these businesses are independent of each other in order to provide an honest and accurate valuation to its clients. If after receiving a valuation report, a client wants to pursue a policy/portfolio sale, the Q Capital can facilitate this process.
Q Capital has provided independent valuations on policies with a face value in excess of $800 million.
Q Capital will provide a risk assessment on policy files so as to allow its clients the ability to determine whether an individual policy within a portfolio (or individually) meets its criteria. Q Capital can also advise on steps that can be taken to improve the fact pattern and perhaps improve the quality of a case file even after the original transaction was completed.
If required, Q Capital has template sales and purchase agreements that can be made available to its clients as a basis for a transaction. In addition, Q Capital has extensive experience with most of the leading attorneys in the life settlement industry and can provide guidance and recommendations and other service providers that may be needed (escrow agent, collateral agent, securities intermediary, etc.)
In 2011, Q Capital completed four advisory assignments on behalf of four different clients – one buy-side and three sell-side transactions. Clients included a private equity firm, closed-ended fund managers, and an insurance company.
Q Capital is actively involved in originating and sourcing policies in the life settlement market, both in the secondary and tertiary markets. Q Capital focuses its tertiary market sourcing for its advisory and consulting clients, making this inventory of portfolios for purchase available for review. In addition, Q Capital can work with clients to source policies not currently available in the marketplace that meet specific target criteria. Q Capital has differentiated itself in this area by finding small pockets of proprietary policies available that are not widely auctioned.
In 2011, Q Capital reviewed and sourced in more than 800 policies with a face value of approximately $4.4 billion available for purchase on the tertiary market.
Q Capital analyzes all available insurance policy information (in-force illustrations, policy contract, annual statements, etc.) to calculate the optimal premium payments for a policy. Q Capital uses its proprietary pricing system to calculate the minimum required cost of insurance (“COI”) that is needed to keep a policy in-force.
Q Capital offers clients the service of document acquisition to get case files up to date and complete. The document acquisition process can be challenging at times, as the policy may not be owned by the original purchaser, and the original policy owner/seller/insured may not be cooperative. Q Capital has an excellent track record of meeting this challenge and obtaining hard to get documents and signatures from sellers/insureds, where required.
Q Capital has extensive experience in dealing with the life settlement regulatory environment and can provide clients with a review and assessment of such. In addition, Q Capital can advise its clients on licensing requirements needed for its activities (or potential activities) in the industry. Furthermore, given its position and activity in the industry, Q Capital can provide its guidance on the expected trends and anticipated changes that could have an impact on a client’s business or proposed business activities.
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