Crystal Wealth Medical Strategy

Investment Objective:

To generate a high level of interest income with minimal volatility and low correlation to most traditional asset classes by investing in American health care receivables.

Strategy Type: Income
Launch Date: January 22, 2010 (Renamed and investment objective materially changed to present October 3, 2013)
Lead Portfolio Strategist: Clayton Smith, CAIA

Why This Strategy?:

The third strategy in our short term alternative fixed income series of strategies, we created the Crystal Wealth Medical Strategy as a complement to our Mortgage and Media Strategies to answer the desperate client need for a relatively high and consistent rate of return with a low probability of losing money. We spotted an opportunity in the fragmented American health care receivables market and teamed up with Xynergy Healthcare, a leader in the American health care receivable factoring industry, to create a mutual fund that provides an incredible opportunity for investors to earn a significantly higher rate of return than they can on other short term debt instruments such as GICs, Term Deposits and Bonds with very minimal risk of downside. We expect returns going forward will be in the 6 – 10% annual range, although this is not a guaranteed return and mutual fund returns do fluctuate.

What We Love About This Strategy:

  • Steady, reliable, relatively high rate of return
  • An asset class that is simple to understand and non-correlated to general markets
  • Exclusive asset class not available through other investment managers
  • Disciplined investment process with over-collateralization provides safety

Our Partner on This Strategy:

Xynergy Medical Capital sources factoring deals for the Strategy, structures the contract with the medical provider and administers the contract on behalf of the strategy.