Master the nuances of Asset-Based Lending, from historical evolution to contemporary strategies. Unlock value in diverse collateral and navigate this growing private credit domain.
Asset-based lending has come of age, but its evolution has made it challenging to put it in a homogeneous category or asset class, given its complexity and diversity of the underlying universe.
From receivables and real estate to royalties and R&D, the range of collateral backing these loans raises questions about ABL's position within the broader private credit complex.
In this episode, we attempt to define the history and parameters of ABL, including how loans are structured, as well as crucial due diligence and portfolio construction considerations.
To help us explore these topics, we're joined by Greg Turk, Deputy CIO of the Illinois Police Officers' Pension Investment Fund, and Cedric Henley, Partner and Chief Risk Officer of Specialty Finance at SLR Capital Partners.
Chartered Alternative Investment Analyst Association
CAIA Association is a global network of forward-thinking investment professionals, redefining the future of capital allocation in a world where traditional and alternative investments are converging at an unprecedented pace. United by a commitment to improving investment outcomes, we lead with authority, educate to inspire, and connect people who turn insight into action. CAIA Association creates dynamic and captivating learning experiences designed to engage investment professionals at every level. Its programs – the CAIA Charter and the CAIA.nxt™ platform – offer critical levels of access to a comprehensive curriculum that equips the investment community with the skills and knowledge needed to build modern portfolios. CAIA Association is a global member-driven community of more than 14,000 professionals, united by a shared commitment to improving investment outcomes and building a more aligned, principled capital market system.
Partner and Chief Risk Officer of Specialty Finance at SLR Capital Partners
Cedric Henley is a Partner, SLR's Chief Risk Officer of Specialty Finance and a founding member of SLR Capital Partners. Mr. Henley sits on the Board of Directors and chairs the Investment Committees of SLR Credit Solutions, SLR Business Credit, SLR Healthcare ABL, SLR Equipment Finance, and Kingsbridge. Prior to joining SLR in 2007, Mr. Henley worked for CIBC World Markets from 1996 to 2007, where he was responsible for the West Coast Leveraged Finance Office, overseeing a portfolio of approximately $1.0 billion of predominantly senior secured debt. He has worked closely with a wide variety of private equity firms and strategic companies in industries such as consumer products, aerospace and defense, chemicals, industrials, and gaming, lodging, and leisure, where he structured and underwrote senior credit facilities, mezzanine debt, junior debt, and high-yield issuances. From 1990 to 1996, Mr. Henley worked in the Project Finance, Energy, and Corporate Banking groups at Union Bank of California, working with environmental service companies and larger middle-market companies. Mr. Henley holds a B.A. in Political Science from the University of Southern California.
Deputy CIO, Head of Private Markets, Illinois Police Officers Pension Investment Fund
Turk joined IPOPIF from family office NG4 Capital, where he was chief investment officer and advised on the firm’s private capital investments. He previously served as director of investments for the Teachers’ Retirement System for the State of Illinois, where he was responsible for both public and private investment activity. He contributed to the fund’s strategy and implementation across private equity, private credit, real assets, and diversifying strategies, with TRS growing to approximately $65bn in AUM during his tenure. Turk has also worked at the CFA Institute, Thomson Financial, Bear Stearns, and Investors Management Group. Turk earned a bachelor’s degree in Finance and Banking from the University of Illinois Urbana-Champaign and an MBA from the University of Virginia Darden School of Business.
