THE SAVOY GROUP 
1. Corporate Private Equity

We anticipate being a leader in private equity investing, planning to manage five general private equity funds as well as specialized funds focusing on real estate and energy investments. We will pursue transactions throughout the world, including not only typical leveraged buyout acquisitions of seasoned companies but also transactions involving start-up businesses in established industries, turnarounds, minority investments, corporate partnerships and industry consolidations. 

We have planned and forecasted investing in corporate partnerships, including transactions with Fortune 500 companies, leading participants in the renewable alternative energy industries ("Green Energy"), leading participants and conceivers in and of "Smart Grid" technologies, leading energy industry companies, leading developers and managers of the real estate industry, and leading participants in the computer, software, electronics, telecommunications, and entertainment industries. We believe that the depth and breadth of our corporate partnerships will lead to a significant number of opportunities for our corporate private equity and real estate opportunity funds over the next several years. As a result of these various relationships, we believe that we are less reliant on auction processes in making investments than many of our competitors, thereby providing us with a wider array of attractive investment opportunities.

2. Real Estate
Our real estate business is envisioned as a diversified, global operation, with investments in a variety of sectors and geographic locations. We plan to manage six general real estate opportunity funds and two internationally focused real estate opportunity funds.  Our real estate opportunity funds will make significant investments in lodging, major urban office buildings, residential properties, distribution and warehousing centers and a variety of real estate operating companies. 

Our marketable alternative asset management segment will be established in 2013, it will comprise our management of funds of hedge funds, mezzanine funds, senior debt vehicles, proprietary hedge funds and publicly-traded closed-end mutual funds. Our marketable alternative asset management segment may grow assets under management significantly representing compound annual planned growth of 54.2%. 

Funds of hedge funds

We plan a variety of funds of hedge funds, which are investment funds that invest in third-party hedge funds. Our funds of hedge funds will be designed as risk-mitigation products that are generally expected to have relatively low volatility and limited correlation with the markets. The funds of hedge funds that we will manage comprise a wide range of different portfolios and investment strategies, including broadly diversified funds, strategy focused funds, opportunistic funds and client customized funds. 

Mezzanine funds

We plan funds that invest primarily in the mezzanine debt of middle- market companies arranged through privately negotiated transactions. These investments will generally be structured to earn current income through interest payments and may also include return enhancements including warrants or other equity-linked securities.

Senior debt vehicles

We plan for vehicles that invest primarily in senior secured loans and other debt instruments.

These vehicles are of the type commonly referred to as collaterized debt obligation or collaterized loan obligation funds.

Proprietary hedge funds

We plan two proprietary hedge funds:

·      Distressed securities hedge fund. Our distressed securities hedge fund will invest primarily in distressed and defaulted debt securities and related equities, with an emphasis on smaller, less efficiently traded issues.

·      Equity hedge fund. Our equity hedge fund will invest primarily in equity investments on a long and short term basis. 

Closed-end mutual funds

We plan to be investment manager of two publicly-traded closed-end mutual funds (the India Fund I, Inc. and the Asia Fund I, Inc.).

·      The India Fund's investment objective is long-term capital appreciation through investing primarily in the equity securities of Indian companies. The Indian Fund may be the larger of the two closed-end mutual funds we will offer in the United States.

·      The Asia Fund's investment objective will be long-term capital appreciation through investing primarily in the equity securities of Asian companies.

Our financial advisory segment will comprise our corporate and mergers and acquisitions services, restructuring and reorganization advisory services and fund placement services for alternative investment funds.

We plan to recruit professionals in this area that have a wide array of specialized industry knowledge and experience and provide all types of corporate and financial advisory services with a wide range of transaction execution capability.


Lennox Hill Group will be our fund placement business.