Investment Philosophy
Invico Credit Partners is guided by a disciplined, fundamentally-driven credit philosophy. We believe inefficiencies persist within the U.S. syndicated loan market, particularly among smaller and underfollowed issuers, where traditional rating methodologies may not fully reflect underlying credit strength. Rather than relying solely on external credit ratings, our approach emphasizes independent fundamental analysis and a forward-looking assessment of risk. By evaluating issuers on their ability to generate sustainable free cash flow and maintain resilient capital structures, we seek to identify mispriced credit opportunities capable of delivering attractive, risk-adjusted returns.
Overview
Strategy
Overview
Invico Credit Partners assists family offices, multi-family offices, and other institutional investors in establishing Separately Managed Accounts (“SMAs”) that can be fully customized to meet client requirements, including portfolio construction, hedging, and leverage parameters. These SMAs may also be white-labeled for multi-family offices seeking to maintain their own branding while expanding assets under management. In addition, the firm supports Invico Credit Opportunities LP, an evergreen limited partnership that invests primarily in senior secured first lien credit to predominantly U.S.-domiciled borrowers. The strategy focuses on secondary market opportunities, conservative capital structures, and active risk management through disciplined underwriting and continuous portfolio monitoring.
Senior secured, first lien syndicated loans
Predominantly U.S.-domiciled borrowers
Secondary market investments
Preference for sub-$1 billion loan facility sizes
Industry-agnostic portfolio construction
Floating-rate exposure with an emphasis on liquidity
Focus
Strategy Focus
Corporate
Credit
Specialize in non-investment grade corporate credit, specifically first-lien syndicated loans to U.S. corporations.
Smaller, Undervalued
Opportunities
Target smaller loan tranches, typically between $500MM and $1Bn in size, where credit analysis can uncover pricing inefficiencies and offer high yields with manageable risks.
Active
Management
Emphasize security selection and active, hands-on monitoring of investments, aiming to capitalize on market inefficiencies while avoiding loans with weak free cash flow or excessive leverage.
Process
Security Selection Process
At the core of our investment process is a focus on durable free cash flow generation and capital structure strength. We prioritize businesses capable of producing sustainable cash flow after capital expenditures across economic cycles, creating a margin of safety for senior secured lenders.
Each potential investment undergoes detailed fundamental credit analysis, with particular emphasis on downside protection and balance sheet resilience. While our underwriting framework is comprehensive, we maintain a consistent focus on key financial indicators that support disciplined risk management:
Net first lien leverage
Loan-to-value
Positive forecasted free cash flow
This structured approach is designed to identify undervalued credit risk while preserving capital and supporting consistent income generation.
Product
Invico Credit Opportunities LP
Invico Credit Opportunities LP is a syndicated corporate credit strategy designed to generate consistent USD-denominated income while emphasizing capital preservation and liquidity. Invico Credit Partners supports the execution of this strategy through proprietary research, underwriting analysis, and active risk monitoring within the U.S. leverage loan market.