Frontera Capital

Frontera Capital focuses on standard financial inter-mediation seeking to match international investor risk appetite with domestic funding needs in frontier markets, in terms of the principal components of the value chain - originating, structuring and distributing frontier market risk transactions. Since frontier market capital markets are not yet... well developed, but are developing rapidly, it makes sense to focus on where risk appetite is most likely to coalesce, including: Sovereign funding, which attaches the largest and most liquid sources of investment risk. Corporate funding, given both strong growth and bank lending regulatory restrictions (where Single Obligor Limits and constrained bank balance sheets from higher capitalisation requirements has boosted 'shadow banking' prospects in many frontier markets). Infrastructure project finance and hard asset financing, such as real estate funding. While Frontera Capital is seeking to meet investor risk and funding needs across the capital structure, the bias is expected to fall on debt capital markets (DCM) given the primary debt characteristics of frontier market finance.Read More