(Bloomberg) — Apollo Global Management Inc. is setting up a company that will give investors exposure to asset-backed loans generated by its credit operations for an initial investment of as little as $2,500.
Apollo Asset Backed Credit Co. is a lending platform that plans to fund and structure debt securities backed by different types of loans to individuals and businesses, according to documents filed this week with the US Securities and Exchange Commission.
The assets backing the debt will range from personal and auto loans to royalties, residential and commercial mortgages, aircraft loans and net-asset-value loans, an increasingly popular form of financing employed by private equity funds.
A spokesperson for Apollo declined to comment.
The new company will offer its shares to accredited investors, a regulatory term that refers to individuals who either have a net worth exceeding $1 million — not counting their primary homes — or have recorded more than $200,000 of income in each of the two prior years.
Apollo Asset Backed Credit is structured as an operating company rather than an investment fund, a step that may allow it to take in more money from individual retirement accounts. Apollo in June filed to create an infrastructure investment company that has a similar setup.
Apollo and other large alternative-asset managers have been racing to create investment options for individuals to bring in new sources of capital. Traditional institutional investors such as pension funds and endowments have pulled back from private equity because they have less cash available to allocate to the asset class as deals have slowed.
Read more: Private Equity Courts a Growing Class of Mini-Millionaires
Originating private debt investments backed by assets such as home, aircraft and business loans is an important growth area for Apollo as it seeks to get to $1 trillion of assets under management by 2026. Last year, Apollo originated about $100 billion of credit assets across the firm and its 16 businesses.
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
