Client Stories
Building a balanced portfolio
Client
Business leader with substantial equity position in a US based tech firm
Objective
How can we create a more balanced portfolio?
Solution
- Downsize their stock position while retaining a stake in the business. Using call options, the client was able to receive a premium from owning the stock and to sell down their position at an attractive price
- Implement a ‘barbell’ investment strategy in which the proceeds from the sale of part of the stake were redeployed into a lower risk and highly diversified fixed income portfolio
Outcome
The client retained significant equity in the high performing business they had helped to build and grow, while moderating overall risk.
‘The team oversaw every step of the process from the sale of my stake to the creation of a portfolio’
A full service private office
Client
Entrepreneurial family selling the business they had built and grown for 40 years
Objective
How should we handle the proceeds from the business sale, both immediately and over time?
Solution
- Open a suite of accounts at target banks and implement a treasury management solution
- Create a strategic asset allocation and work with the family to deploy capital across various strategies and mandates
- Implement an aggregated reporting solution to allow a single view of their holdings
- Partner with the family as they evolve from entrepreneurs to private investors
Outcome
With the sale of the business completed, proceeds are efficiently managed while a strategic allocation is implemented over time. Furthermore, the client has a virtual family office structure in place to oversee their work plan and supporting wider objectives such as education and succession.
‘We see Saranac as an extension of our own team’
Bespoke liquidity solutions
Client
Corporate client with significant pools of liquidity
Objective
How can we optimise and manage significant levels of corporate cash?
Solution
- Establish seven distinct fixed income portfolios including diversified credit, asset backed securities, treasury management and specialised credit
- Oversee, manage and flex these portfolios according to prevailing conditions
Outcome
Over a number of years, the team in partnership with the client has navigated significant periods of volatility, optimising return while managing both risk and liquidity
‘Saranac has helped us progressively implement effective, sophisticated liquidity solutions’
Complex lending
Client
Time-poor private client in the process of buying super-prime London real estate
Objective
How can we secure the best possible terms for financing and manage workload for the client?
Solution
- Conduct a competitive tender with five lenders – with banks and non-traditional counterparties
- Coordinate tax advice on their behalf
- Lead negotiation and project management
Outcome
We succeeded in securing and completing an initial 2-year loan on attractive terms. Furthermore, despite challenges with planning, we extended the loan on the same terms and without the need for additional funds from the client.