LIFE SETTLEMENT FINANCE

Summary

Portfolios of policies initially acquired from seniors in the United States are an attractive asset for many large institutional investors worldwide because they are non-correlated to general economic trends and the financial markets. Although life settlements are a relatively new class of investments, they are basically a repackaging of one of the oldest and most financially secure instruments in US history, life insurance policies.

Our principals have been front-runners in developing this market since its inception.  Marquee helped shape the Secondary and Tertiary life insurance market from its inception, when the Company secured an initial provider funding facility of $400 million with Gen Re Securities, a division of Berkshire Hathaway. Marquee has subsequently closed portfolio trades with funding from institutional investment banks, European and domestic pension funds, warehouse lending facilities and hedge funds

Marquee’s Principals co-founded and operated Living Benefits, one of the oldest names in the industry, and the first to be institutionally funded. The Company has been responsible for creating industry standard measurement techniques that have guided institutions in their management of life settlement portfolio investments, all the while maintaining full transparency and strong consumer protection.

Portfolio Aqusition

Marquee is a life settlement portfolio trader that focuses on a proprietary analysis and trading process, following a thorough institutional due diligence methodology. When Marquee is engaged to advise a client with purchasing or selling life settlements, the company combines proven trading expertise and cutting edge quantitative tools to deliver enhanced execution services for our institutional clients. The Marquee Companies designed and implemented the proprietary LivingStar^SM Platform for portfolio management and servicing. This allows clients on-line, password-protected web access to view their entire portfolio in real time.

In order to locate policies and portfolios for purchase, Marquee, as an adviser to life settlement investors, has established solid ties with top fund managers, brokerages, life insurance agencies and financial planning firms throughout the United States. Through this process, Marquee has identified and priced more than 15,000 life insurance policies..

Due Dilligence

Marquee provides extensive and detailed due diligence on individual policies contained in portfolios. For example, an investment bank that represents multiple large institutional investors retained our analytic team to perform portfolio analysis and policy due diligence prior to acquiring various pools of policies. The portfolios, comprised numerous life insurance policies which had been purchased as individual life settlements some years earlier. The team uncovered material discrepancies in many of the policy files. These discrepancies were analyzed, researched, and corrected where possible. As agreed upon by both buyer and seller, a number of policies were dropped from the trade, and our client successfully negotiated material reductions in the purchase price for the remaining polices.

Portfolio Servicing

Marquee is also a full service portfolio management adviser. Through experienced service professionals,  Marquee provides the hands-on servicing necessary to manage all aspects of each underlying policy within a portfolio to maximize returns. Retained by international funds, investment banks, pension funds, hedge funds and family offices, Marquee provides unique services able to meet each client’s specific internal requirements. On an ongoing basis, Marquee has also managed premium optimization, mortality sweeps, and collection of the net death benefits upon maturities.  In addition to those traditional services, Marquee can provide special services as requested by clients. For example, Marquee was contracted as a special projects advisor to become the lead originator for a Health and Behavioral Survey Program arranged by Deutche Bank. During the first half of that year, more than 3,000 health and behavioral surveys were successfully originated with healthy seniors across the United States.

Services We Provide

Code of Conduct

Data Security

Maintaining application and database performance and up-time are two absolute requirements for any data security solution. Marquee maintains strict processes for data security, data backup and disaster recovery to protect our clients’ information from external intrusion threats, hardware failure and physical plant failure. Marquee commitment to excellence has proven that our institutional clients will not experience problems that have been inherent to other less sophisticated life settlement firms where jeopardizing availability, degrading throughput or requiring network reconfiguration occurs.

Our network is secured using Microsoft technology and an Internet firewall. All systems contain the most up to date anti-virus software. Our web application requires individualized logins which are closely controlled and access restricted. Password changes and associated security protocol requirements are automatically mandated on a frequent basis.

Due to the nature of our business and the fact that we obtain personal information over the Internet, we utilize secure web protocols and certificates to encrypt data.

Backup procedures include but are not limited to;

 We will ensure all internal applications backed up every 24 hours.

• We will ensure all servers use RAID technology to limit exposure to disk failures.
• We will ensure all data is backed up for external, offsite storage.

 Disaster recovery measures include but are not limited to;

• We will ensure backup data and other software media is stored offsite.
• Additional hardware kept offsite for redundancy purposes.
• Quarterly testing of our server environment disaster recovery plan.