W&F September 2017

www.wealthandfinance-news.com 26 Wealth & Finance International - September 2017 curve. Simply put, the company needs to strive for excellence in process and risk management to achieve greater results. We are confident that skill will be in fashion soon again.” Furthermore, Alfred continues by commenting on the importance of the staff at the company, and how influential they have been in Prudent’s success. The experience of employees is something Alfred alludes to when positively mentioning the staff. “Fundamentally, it is all about the people, the staff is key to our success. Lending is a tricky business, and we have had the good fortune to be able to utilize the Brazilian economic slump to lure over highly seasoned professionals when building the Prudent business. Most of our many Senior Associates have more than 20 years of industry experience and bring a wealth of industry knowledge, endless contact networks and a good eye for sensible business transactions for us to pursue.” Interestingly, Alfred provides us with some examples of success that Prudent has had recently, noting the company’s venture into the extremely profitable Brazilian credit card receivables sector. Innovation is another important aspect of how the company continues to achieve, as Alfred explains what the company brings to the investment community. “One of the achievements in the year just passed is that we within Prudent have managed to enter into the extremely profitable Brazilian credit card receivables arena. We did in less than six months create our own echo-system of card terminals, processing and receivables discounting in which we are creating a possibility for the Merchants to get rid of their banks. As said above, we are offering the international investment community proper risk adjusted returns in this yield-starved world.” In his concluding comments, Alfred indicates where he believes Prudent fits into the wider hedge fund industry. Not like most other hedge funds in the traditional sense, the company solely invests in self-generated short term corporate receivables. He signs off by predicting what challenges Prudent and the industry itself will face in the future. “Prudent is not really a hedge fund in the traditional sense as we solely invest in self-generated short term corporate receivables. Prudent is an operational business active in the Brazilian credit market seeking scalable and repeatable transactions. Furthermore, our fees are much lower and our liquidity better than any hedge fund I have seen. Hence, we are a business classified as a hedge fund. “Regulatory straight-jacket is increasingly stifling and costly. Moreover, the flight to the largest money managers is creating a highly strange competitive landscape in the business. As said above, we do hope that investment excellence soon will be back in vogue again and determining allocations and not the sheer size of the AuM.”