For a long time, we have been concerned by the common practice in Over the Counter (“OTC”) derivative markets of end users conducting all their hedging activity with a small group of their “relationship” banks.

Corporate finance theory has long established that companies should maximise their Enterprise Value no matter who the shareholders are.

Banks have traditionally provided funding and hedging acting as principals. The financial crisis has critically reduced banks’ appetite for risk, thus often reducing their role in several traditional investment banking functions to that of ‘matched brokers’.

Landericus Limited

Landericus Limited was incorporated in Guernsey as an investment company on 19 December 2007. On 8 August 2008 the company then received consent under the Control of Borrowing (Bailiwick of Guernsey) Ordinance from the Guernsey Financial Services Commission to operate as a Registered Closed-Ended Investment Fund.

The company was established as the parent company and ultimate holding company of a German residential property fund.

The Fund is managed by Landericus Fund Management (Guernsey) Limited, a Guernsey based fund manager licensed by the Guernsey Financial Services Commission and wholly owned subsidiary of TradeRisks.

The Fund has created, and continues to expand, a long-term residential property portfolio in Germany. Due to the nature of the Fund and the characteristics of the German residential market, long term capital growth of the underlying assets of the Fund is ancillary to the generation of rental income, which provides a strong and stable return to investors.

The portfolio is held for the long term with disposals only being undertaken where there is a significant strategic benefit of the Fund.

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