Loan Portfolios & Structured Credit
As a leading alternative investment fund manager, CarVal Investors seeks investments on behalf of its distressed debt funds in bank loans through two asset types – Loan Portfolios and Structured Credit.
The Loan Portfolios team manages investments in consumer, residential, commercial and industrial whole loan portfolios from a variety of sellers, including large financial institutions and small community banks. CarVal Investors reached critical mass in the U.S. with the savings and loan crisis in the late 1980s and early 1990s, then expanded its expertise into Western Europe and Asia in 1994. During the last 26 years, the firm has managed investments of $13 billion in more than 1,600 loan portfolio transactions across 27 countries. The firm works with industry-leading servicers to manage the assets in which it invests.
CarVal Investors also manages investments in bank assets through its Structured Credit business. Its experienced team pursues investment opportunities in Asset-Backed Securities, Residential Mortgage-Backed Securities, Commercial Mortgage-Backed Securities and Collateralized Loan Obligations, primarily in the U.S. and Western Europe. Utilizing its expertise in loan-level analysis to understand the underlying collateral and potential range of outcomes, the team applies an extensive scenario analysis to manage risk and optionality.
The expertise developed in these asset types benefits CarVal Investors’ firm-wide, global multi-strategy approach. Both the Loan Portfolios and Structured Credit teams work closely with investment professionals in CarVal Investors’ commercial real estate business to capitalize on commercial real estate credit opportunities and in its Corporate Securities business to execute on opportunities requiring expertise across the asset classes.