Why A Diversified Income Strategy Is Important
Market uncertainty continues to underscore the importance of maintaining diversified strategies on both the equity and income sides of a portfolio. That is why Vertical Capital Income Fund (VCAPX) management believes today’s investors require income approaches that have less correlation with conventional market movements.
Applying a traditional value strategy to a specialized alternative asset class – first deeds of trust and whole mortgage notes – the Fund seeks to offer income-minded investors a valuable degree of non-correlation. If downward price pressure on mortgage notes continues for the foreseeable future, the next half decade may present opportunities to buy quality whole mortgage notes from financial institutions at deep discounts.
This is our value strategy that seeks to achieve high collateralization and non-correlation
Take The Long View And Diversify Your Income Investment Strategy
Simple yet sophisticated, Vertical Capital Income Fund seeks to help you keep pace with your changing needs as you pursue your investment goals.
Discover how you can use VCAPX as a potential income-generating vehicle that may help improve your income outlook while tempering market volatility.
There is no guarantee that any investment strategy will achieve its objectives, generate profits or avoid losses. The property shown is for illustration purposes only, not a guarantee of actual results. In this hypothetical, the current asset value is 10% less than the original note amount ($100,000 x 90% = $90,000). Vertical Capital seeks a purchase price in this example at a new distressed price ($100,000 x 65% = $65,000). The Vertical Capital purchase price may be under the estimated quick sale value, or foreclosure value, at the shown purchase price of $65,000. The assumed interest rate on the original note is 5.00%.
*Limited liquidity is provided to shareholders only through the Fund’s quarterly repurchase offers for no less than 5% of the shares outstanding at net asset value. If a redemption period is over subscribed, redemptions will be allocated on a pro-rata basis. See prospectus for full details.