Personal Services

Corporate finance

Corporate finance is the area of finance dealing with the sources of funding and the capital structure of corporations, the actions that managers take to increase the value of the firm to the shareholders, and the tools and analysis used to allocate financial resources.

Sources of Capital Raised:

• Debt Capital – this includes bank loans, notes payable, or bonds issued to the public. Debt requires the company to make regular interest payments (interest expenses) on the borrowed capital until the debt reaches its maturity date. Failure to pay the interest or principal value can result in bankruptcy.
• Preference Shares / Preferred Stock – Preferred stock is a hybrid equity security which often have properties of both an equity and a debt instrument. Preferreds are senior (i.e. higher ranking) to common stock, but subordinate to bonds in terms of claim (or rights to their share of the assets of the company).
• Equity / Stocks – Companies can sell shares to investors to raise capital. Investors, or shareholders, expect that there will be an upward trend in value of the company (or appreciation) over time to make their investment a profitable purchase. An initial public offering (IPO) is the first time that the stock of a private company is offered to the public.

Brokerage

For those who prefer to make their own investment decisions, a third party account will give you access to a wide range of direct investment opportunities. We can refer you to independent brokers.

Benefits of a brokerage account includes:

• Custody of your securities all in one place
• Collection and deposit of dividends and interest payments
• Consolidated reporting and quarterly statements
• Online access to account information

Investment Funds

An investment fund is a professionally-managed investment vehicle that pools money from many investors to purchase securities.

Whatever the profile or strategy of the Fund, Investar invests for the Long term:

• Outperformance requires a long-term outlook with continuous adjustments to the portfolio
• Compounding is a powerful force: reasonable returns compounded over long periods can produce astonishing results and is more effective if large losses are avoided
• Costs have a significant impact on net returns and should be minimized

We believe that Asset Allocation (the mix of asset classes) is an important driver of return, allowing investors to reduce risk without necessarily sacrificing performance.

Investment Management

The guiding philosophy of Investar is that as stewards of capital, our clients’ interests are paramount. We build long-lasting relationships based on integrity, expertise and a high level of service.

Our Investment Philosophy: Absolute Return Investing

• We believe in the long-term protection of capital through Absolute Return investing
• Outperforming Cash is our ultimate goal, not simply outperforming an index
• Risk is defined as a Permanent Loss of Capital which prevents the achievement of our client’s goals