Debt Asset Management

Hastings provides active debt asset management through a dedicated asset management function. Central to this process is the detailed re-assessment of the credit risk quality of assets using a transparent, robust and repeatable credit approach that combines proven rating agency methodologies with an independent expert views.

Hastings' credit risk assessment process has been reviewed by Moody’s and found to be “well implemented and fit for purpose” and “robust when compared to similar organisations.”

Hastings' debt asset management comprises four elements; Credit Quality Monitoring, Issuer Relationship, Portfolio Management and Investor Reporting.
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CREDIT QUALITY MONITORING
  • Regular monitoring of issuer financial, covenant and operational reporting
  • Ongoing assessment of divergence between actual business performance and investment case
  • Detailed periodic re-assessment of credit risk quality
  • Proactive monitoring of market developments and assessment of risks to the portfolio
ISSUER RELATIONSHIP
  • Meeting with issuers to discuss operational and financing performance, updated business plans and strategy
  • Relationship building to position for future re-financings and opportunities
  • Consideration and negotiation of waiver and/or consent requests
PORTFOLIO MANAGEMENT
  • Ongoing liquidity analysis of the portfolio to manage timing of drawdowns, repayments and maturities to make optimal use of cash
  • Monitoring secondary market pricing and evaluating whether it is appropriate to realise value through a sale
  • In the event of divestment, managing the process to maximise value 
INVESTOR REPORTING 
  • Quarterly asset summaries provided to investors with updates on credit quality and material events
  • Flexible reporting structures offered
  • Experience in managing a variety of mandates with varied structures and regulatory environments