Investment proposition

Smart thinking, intelligent execution

Our focus is to provide servicing capabilities, through our platform, for key asset niches in our target markets, at a prudent return, with good customer outcomes.

1. Sophisticated investment platform in a growth market

• Focus on high value niches
• Unique origination channels
• Ability to invest above replacement rate at a minimum of mid-teen net IRRs

2. Increasing quality of earnings

• Flexible model depending on credit cycle: capital intensive Investment Business and capital-light Asset Management and Servicing Business
• Capital-light Asset Management and Servicing Business fastest growing part of the business
• Target to double AMS Business income and increase it to 50% of gross total Group income over five years

3. Consistently strong returns for shareholders

• Strong through-the-cycle underlying ROE target of 25%
• Sustainable dividend policy with a payout ratio of at least 35% of underlying profit after tax combined with reducing leverage

4. Resilient balance sheet

• Long duration debt – first funding maturity not due until 2024
• Low weighted average cost of debt – reduced to 3.9% from over 8%
• New lower leverage ratio of 3.0x-3.5x secured net debt to adjusted EBITDA
• Focus on prudent portfolio investing

5. Reliable through-the cycle performance

• Balance sheet discipline
• Prudent approach to underwriting
• Sustainable returns for shareholders