Investment Strategy - Lux Global Investments Corp

The Board of Directors consults industry experts and reputable research centers to ensure best in class due diligence is being performed on the assets we aim to acquire. We engage top-executives of multinationals to validate strategies for fast track business development and rapid acceleration of profitable growth, market share and shareholder value as well as for any desired exit strategy.

As far as the selection of assets concerns, our firm has developed an unique set of entrepreneurial and managerial competenties to ensure that high quality revenue generating assets with significant upside potential are being acquired, that risks are adequately mitigated and all financial and administrative operations are undertaken in full compliance with the highest standards of compliance and governance.

Experience

The investment manager's experience is of critical importance to ensure the bondholder's money remains protected and provides the expected returns as well.. Lux Global Investment Corporation has a visionary management with the competence to effectively issue new innovative bonds, sustain their value and develop trading in secondary markets. Our managers have been in the “driver’s seat” of such operations for many years at reputable global financial institutions, at leading securities firms, insurance companies and banks. They have an impeccable track record of success, have earned industry or corporate awards, are recognized as leaders at global industry platforms and are fully up to date with latest market developments. Our managers have the required board room experience to be able to guard with full confidence and certainty over the assets of our bondholders and adequately deal with regulatory, legal and administrative matters.

Innovative

It is important to understand that Lux Global Investment Corporation is not a conventional issuer of bonds. At present the capital markets are overloaded with funds, securities, derivatives that are merely based on the same asset classes (stocks, bonds, currencies, real estate, commodities, mortgages, etc.) and mostly vary only in the mix (geography, industry sector) and/or vary in the assumptions of underlying risk and returns, and/or in method of accounting risk and return. Very few providers offer real innovations while claiming to be “Out of the Box” innovators, not knowing “The “Box” itself.

Lux Global Investment Corporation concentrates on a constant effort to accommodate investors real needs, by engineering solutions that are not subject to conventional economic, fiscal, regulatory or technical limitations. Key to our success, in that front, is our close collaboration with reputable institutional investors and final cross testing in cooperation with leading external experts, utilizing advanced scientific methods, mathematical models and computer-assisted tools. Although we do not pretend that we will find each time the “Goose that laid the Golden Eggs”, we have already engineered a range of “of-the-shelf” asset-backed structured products that comply with our institutional client’s investment goals.

Expertise

Adequate selection of assets requires full understanding of the subject matter in fact as well as the managerial aspects of the industry, market and business processes and applied techologies, Of particular importance is to determine full understanding what the drivers of economic value and costs are. Lux Global Investment Corporation utilizes specific working groups with specialist that are considered the best in the industry, commissions leading universities and research institutes required to make well-informed investment and acquisition decisions.

Foreward Thinking

Prior and throughout the Investment period, we utilize critical market research data tram leading, accredited intelligence providers to ensure our management strategies remain focused on truly essential factors, shifting them from false assumptions and influences of wishful thinking. However, due to an ever growing complexity, global capital markets became more dynamic, more volatile and less predictable. The real time flow of massive amounts of information causes an even greater amount of emotional and algorithmic impulses that can affect and change markets in a split second. This requires responsiveness and time is hereby of critical essence. Instead of relying exclusively on predictive capabilities only, Lux Global Investment Corporation has also developed the ability to anticipate and rapidly respond to unexpected, unpredictable contingencies. If events of great impact suddenly occur, we will rapidy mobilize its multi-disciplinary team of experts to encounter the events. We are ready to implement instantly adequate directives which have been already agreed upon on forehand.

Risk Mitigation

Lux Global Investment Corporation utilizes sophisticated risk analysis tools and information resources. However we prefer not to rely on "statistics of averages" , trends and computated forecasts alone. A dedicated Risk Management Committee follows each indivudual investment almost on a daily basis utilizing detailed business score cards and comprehensive performance indicators. In addition we closely monitor industry benchmarks and relevant risk factors i.e. interest rates, currency exchange rates, commodity prices. We anticpate on the potential impact of geopolitical and economic developments to timely mitigate financial risks.

Solvency

Lux Global Investment Corporation plans ahead and makes multiyear/multi-level provisions to ensure optimal liquidity positions. We have the ability to flexibly adjust our cash positions and cash flows throughout the investment period to ensure we can meet coupon payments and payments for servicing of the assets we have in portfolio without risking liquidity shortage. We plan for optimal spread of timely asset disposals across the entire investment period and in particular for liquidity sufficiency at bond maturity date. We considers liquidity risk management of significant importance. We have therefore installed a continuous liquidity audit procedure whereby the risk advisor provides on a regular base a certificate of liquidity sufficiency.