Investment Thesis

Competitive Advantage 

In a post-crisis world, banks are increasingly forced to seek strategic partners to support business lines that are in the regulatory crossfire.  The changing regulatory landscape severely limits the ability of traditional banking and financial institutions in stepping into the void.  This unique dynamic creates an unprecedented opportunity for family offices with private equity and credit capital to invest in leading market opportunities across a broad range of industries and situations requiring smart and creative structures.

Black Pearl Investments (BPI) aims to capitalize on this market fragmentation by working alongside investment banks, institutional sources, and directly with the investor community with its nimble and innovative solutions that execute on compelling target acquisitions and unique investment opportunities.

A vast majority of deals within the current landscape requires significant capital contributions and inherent sophistication from the investment companies.  This inevitably leads to independent and nimble firms as the preferred capital partners that have adapted their business model to this ever-changing global market landscape fraught with increasingly onerous bank regulations and restrictive guidelines that delay the funding process.  In the end, BPI can be a more viable solution.

Key Outcomes 

BPI seeks to create competitive structured capital solutions where investors and banks alike can access:

• Sustainable capital solutions which focus on delivering value for all stakeholders in a deal

• Alignment of interests within BPI and its investors including its strategic and transactional partners

• Focused and timely opportunities through creative structures, which enable superior risk-adjusted returns, relative to alternative asset classes and competing opportunity costs

• A diversified investment strategy that inherently mitigates individual sector risks while boasting higher, overall internal rates of return  

BPI's mission first and foremost is to provide clients with investment strategies that meet their needs and deliver strong risk-adjusted, long-term performance.  As fiduciaries and responsible stewards of our clients’ assets, BPI employs a disciplined investment process that seeks to both uncover opportunities and evaluate potential risks while striving for the best possible return outcomes within our investment guidelines.  Consistent with these objectives, BPI's process includes an integrated evaluation of environmental, social, and governance (ESG) factors.  We recognize that relevant and material ESG issues can meaningfully affect investment performance, and these factors are critical components of our integrated research analysis, decision-making, and ongoing monitoring.

Rather than an adjunct consideration, ESG factors are fully integrated into the investment teams’ decision-making and are a central part of their research.  BPI believes this holistic approach to assessing risk and opportunity enhances our investment process.  Investment activities are specific to each of the investment teams across global fixed income, credit, and equities.  Each team employs an approach that is best suited to the asset classes they manage and corresponds with their philosophy and process.  Accordingly, each individual research process, including the ESG component, is unique and designed to reflect the respective team’s overall approach.  Depending on their asset class-specific needs, teams may utilize third-party ratings and company research to enhance their understanding of relevant ESG issues and supplement their analysis.