Services for Investors and Litigation Funders

JBSL focuses on legal investing. Through its syndication model , investors of all types have access to JBSL’s co-investors’ opportunities and expertise. This includes:

• $1B in original issue deals – JBSL originates nearly $1B annually in legal risk, all of which is syndicated among JBSL and some of the most sophisticated legal asset investors in the world including hedge funds, private equity shots, commercial banks, insurance companies, and family offices.
• Unique origination capabilities – JBSL works with marquee law firms in every field of practice – commercial litigation, mass torts, personal injury, qui tam, antitrust, and others.
• Tranches and ratings – JBSL original-issue loans and legal investments are heavily structured, tranched, and often-times rated.
• Liquidity – JBSL structures every deal with an eye toward secondary trading via syndication and other tools. While other funds hold their investments to maturity, JBSL is the only firm on Wall Street that creates a market in secondary trading of litigation investments.
• Insurance – JBSL leverages insurance as a means to inform and develop the market’s best practices.
• Independent third-party service – JBSL employs independent third-party servicers on each facility.
• Standardized documents – JBSL documentation has been vetted by dozens of multi-billion-dollar co-investors and their outside law firms.
• Hands on investment management – JBSL invests as a principal in nearly every deal it syndicates, following closely each law firm and case, while liaising with investors and services and actively managing investments through secondary trading, insurance, and docket maximation.

Secondary Market Trading Through JBSL

The JBSL team is the pioneer of the litigation finance secondary market, having structured and traded the first and most famous secondary trade – the Petersen Transaction.

The Petersen Ttransaction allowed a publicly traded litigation funder to sell a minority position in certain YPF assets. The funder acquired the assets for $20MM and sold them in this secondary transaction – created by our team — for $100MM in cash, yielding a 5x cash return while retaining 75% of the value of the YPF asset. Importantly, we structured the vehicle to allow future liquidity that has led this litigation funder to repeated monetization and a carrying value of $725MM.

In the last half decade, we have been engaged by hedge funds, traditional litigation funders and others to help them accelerate and lock in their own returns, reduce or resize risk, and access mature investment portfolios being traded by some of the most experienced litigation funders in the market.

JBSL Advisory Services for Legal Asset Investors

The JBSL Advisory team’s extensive experience is an invaluable asset to our advisory clients, who look to JBSL to assist these investors by acting as an outside underwriter for other litigation funders, commercial banks, and similar investors.

Our clients understand that underwriting and investing in legal risk requires a dedicated team with a singular focus, and a steadfast discipline to ensure that only high-quality investments make it through the IC process. They also do not have the resources necessary for this process. JBSL acts as outside underwriters for these investors, opening the door to this exciting asset class providing valuation, structuring, and pricing of litigation investments.

Please reach out to us to learn more about investing alongside JBSL.