New approaches to Infrastructure market risk
New funding solutions for Infrastructure projects pervade the market, each with dramatically different risk metrics in terms of refinancing and future breakage costs. These factors can have major impact on returns over the asset’s life. At the same time, actively assessing such risks is a new exercise for many investors.
Borrowers must also evaluate the benefits of various investment currencies, as well as short versus long-term debt, and flexibility versus long-term debt with penal breakage terms. The fair value differential among these alternatives is measured in percentage points of asset value.
The Benefits of Chatham Infrastructure and Policy Strategies
Expert advice: Chatham advises leading investors and lenders in developing policy and strategic approaches to market risk. We establish complete risk management operations from scratch as well as revise and benchmark policy documents and implementation. Our strategic input helps select and appraise opportunities, analyze scenarios for returns, and provide board–level analysis and presentations.
Independent perspective: Acknowledged as a credible, independent voice in the OTC derivatives markets, Chatham Financial has testified before the U.S. House Subcommittee on Derivatives End-User issues.
Our firm has been cited in numerous publications and conferences and we have relationships with the majority of banks and financial advisors. We are equally comfortable with both confidential and published assignments.
Technology Leader: Our debt and derivatives technology is used by some of the largest multiple asset-class managers. This is instrumental for clients establishing new hedging platforms or upgrading their current approach.