THE COMPANY

CDOC allows clients to use life insurance assets to fulfill their financing and investing needs and goals. The option to use these assets has been severely lacking from traditional providers of financial and investment banking services. CDOC has combined superior expertise in the life insurance assets market with traditional investment banking experience and skills to provide a platform for a broad variety of transactions involving debt, equity and quasi-equity in an equally broad variety of industries. CDOC has created proprietary securitization instruments that allow debt investors to capture above market rates of return without taking on typical market risks that include interest rate volatility, stock market fluctuation, and systemic dislocations in the financial markets. CDOC securitized instruments are not dependent on third party underwriting or valuation errors and, most importantly, such products have virtually no default risk.

Securitization is currently being applied across a wide spectrum of asset classes from a variety of sources and with a wide diversity of characteristics. These new instruments offer attractive alternatives to traditional forms of short and long term financing available in the marketplace. Securitization has increasingly become an accepted and preferred method of financing as indicated by the enormous growth of various programs including commercial and residential mortgage backed instruments, commercial and individual loan portfolios and the securitization of cash flows from stable sources. Participants in CDOC structured transactions benefit from the self-liquidating nature of the life insurance assets. As a result, there is certainty of event and payment expectation, as well as, the certainty of amount and a reasonable certainty of the ultimate receipt of funds from the life insurance assets.
It is in the securitization of cash flows that CDOC excels. CDOC has created a ubiquitous, core structure that may be used across many disciplines by many types of investors and borrowers/debtors to fulfill specific needs. The core product may take the form of a note, bond, surety, trust or unit trust using life insurance assets. The securitization of life insurance instruments into an asset backed security or collateralized debt obligation, that includes their cash flows and attendant expenses, is a new use of the asset class.

The in-depth experience of the CDOC team in the acquisition and management of a wide range of insurance assets enables CDOC to develop a variety of innovative solutions to meet individual client and project needs. Experience with this asset class is of great importance and represents a special area of competence not possessed by traditional investment banking providers. CDOC uses its knowledge to create a product that provides for broad statistical reliability through diversification across all asset characteristics. Securitization allows investment flexibility in a simplified format that facilitates both investment and resale transferability.

Historically, large institutional investors have dominated the purchase and use of these life insurance assets. Their sophistication has allowed them to be comfortable with the excellent underlying characteristics of these assets, such as certainty of return of principal and a predictable rate of return component, while not sharing economic and market risks of traditional alternatives.

CDOC has taken a traditional investment view of this asset class and structured products around the actual characteristics of the underlying asset. Attempts by others to force artificial outcomes and timing into a structured instrument have failed consistently. As a result, CDOC does not create over-leveraged instruments in order to increase yield while conversely dramatically increasing risk to investors. CDOC does not create shortened maturity instruments in order to force short, date certain returns based upon risky or flawed timing assumptions. On the contrary, CDOC products use a large cash reserve component, conservative time horizons and standard market rates for all calculations. This process yields exceptional returns while minimizing risk.

Unique to CDOC is the use of its’ securitized products to originate financing options for middle market ($50 million to $500 million in revenues) clients seeking financing alternatives. CDOC originates senior asset based loans, cash flow loans and enterprise value loans ranging from $10 million to $100 million or more. CDOC has created a unique structure that virtually eliminates risk to investors while still providing above market returns. The benefits of the unique structure are equally attractive to the borrowers. The company receiving funding through this structure will benefit by not being required to provide equity or personal guarantees to qualify for funding. Using the CDOC structure the borrowers’ equity is preserved for future or concurrent financing from other lending resources. Every company receiving funding from CDOC must generate sufficient current EBITA to amortize the CDOC debt instrument. CDOC can use their instruments and structuring methods for various types of debt financing which include mergers and acquisitions, leveraged buyouts, private equity, as well as asset based financing such as real estate, oil and gas, mineral extraction and other marketable hard assets.