Ranger Alternative Management II, LP
Ranger Alternative Management II, LP (the “Firm”, “Ranger” or “Investment Manager”) actively invests in debt instruments, which allows investors to participate in direct lending markets traditionally accessed exclusively by banking institutions.
Debt Instruments are generally originated or issued by direct lending platforms, are primarily secured against assets and/or personal guarantees and have relatively short maturities (average 2 years). Direct lending platforms are an increasing source of liquidity, in particular for small and medium sized enterprises and consumers.
Opportunities are presenting themselves as banks continue to retreat from SME lending as a result of new regulatory requirements. Direct lending platforms will typically focus on a particular category of borrower and/or underlying industry asset class. By investing in Debt Instruments originated or issued by a number of different direct lending platforms, the Firm seeks to reduce concentration and interest rate risk by constructing a diversified portfolio comprised of loans with differing industries, geographic areas and loan maturities.
Specialty Income Opportunities
Ranger believes that Debt Instruments originated or issued by direct lending platforms are an attractive and growing asset class that have the potential to provide higher returns for investors than traditional fixed income strategies.
Ranger also believes that by investing in direct lending opportunities instead of peer-to-peer opportunities, the total number of lending categories available and the numerous existing platforms in each category will be increased.