Introducing Marine Finance – A New Asset Class from YieldStreet

April 12, 20183 min read
Introducing Marine Finance – A New Asset Class from YieldStreet
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We are excited to announce that we will be launching a new asset class later this month: Marine Finance. Marine Finance focuses on financing vessel acquisitions for the spot market, time charters or bareboat charters, as well as the construction of work boats, and to finance the acquisition of vessels for scrapping. We are also introducing a newly developed legal structure for certain investments that will allow us to fix the Marine Finance initial offering minimum investment at $10K. Stay tuned for more details to come.

Historically dominated by large institutions, hedge funds and private equity, we believe this is the first time retail investors will be able to participate in Marine Finance. We are proud to introduce this new asset class and are excited to start bringing multiple opportunities in the space to our investors. You can find a more in-depth intro on the asset class here.

We are very excited to announce that joining the YieldStreet team is George Cambanis, ex-CEO of Deloitte Greece, who will lead YieldStreet’s Marine Finance initiative. George has over 40 years of experience in the Marine industry, after founding Deloitte Greece in 1976. We sat down with George to discuss why he’s excited to bring Marine Finance opportunities to the YieldStreet community. 

Tell Us About Your Background

I grew up in South Africa and on my way to get my MBA in the U.S., I stopped in Greece and never left! I started Deloitte Greece and because shipping is such a significant part of the Greek economy (20% of the global shipping fleet is owned by Greek companies), I started getting more and more involved with the Marine Industry.

Why Should YieldStreet Investors Be Excited About Marine Finance?

The shipping industry is such an integral part of the global economy, but most people never think about it. Almost 90% of the goods you touch, see, and feel from when you wake up to when you go to sleep were on a ship at some point.

Why is Now a Good Time Get Involved in the Industry?

I feel it is a great time to be investing in the marine shipping sector as the industry continues to steadily recover from the 2008 recession and current forecasts point to sustained growth. Although there are some concerns regarding possible new tariffs, I don’t believe they are enough to slow the velocity of global growth, and if anything, could even help strengthen the industry by creating new routes and new contracts.

Why is Marine Finance Such an Attractive Asset Class?

After the market collapsed in 2008, traditional capital flowing from banks tightened up and hedge funds and private equity stepped in. A lot of banks left the industry altogether and, given the unique nature of Marine Financing, there are many opportunities for specialty finance to step in. Using YieldStreet’s technology, investors now have access to this highly structured opportunity in a global industry with what we expect to be above market returns.

Stay tuned for updates on the new offering and in the meantime check out this article for more on Marine Finance.