Update on Credit Suisse Supply Chain Finance Funds
March 16, 2021
March 16, 2021
On Friday March 5, 2021, Credit Suisse Asset Management announced that, in the best interests of its investors, the boards of the four Supply Chain Finance Funds (SCFF) had decided to commence the wind down of the funds.
Since then, Credit Suisse Asset Management has been focused on managing the portfolios in a manner that protects the interests of fund investors and enables cash distributions to be made to investors as soon as it is possible to do so. To date, over USD 3 billion has been returned, representing, on average, 30% of the aggregated net asset value (NAV) of the four funds as last published on February 26, 2021.
Greensill Capital (UK) Limited filed for Administration in the UK courts on March 8, 2021. Credit Suisse Asset Management has been working closely with the Grant Thornton team since appointment. The Joint Administrators have confirmed that the platform remains operational, and that cash continues to flow back to investors as the obligations underlying the notes mature. Since fund redemptions were suspended on March 1, 2021, over USD 400 million of cash has been raised in the funds through the natural maturity of the short-term notes in which the funds are invested.
The Joint Administrators have retained many of the key members of Greensill Capital’s insurance team, and Credit Suisse Asset Management will continue to work with them on any claims for insured notes.
With regard to the four further Credit Suisse funds that are invested in the SCFFs and which were temporarily suspended on March 1, 2021, various options for reopening them as soon as possible are currently being considered.