Cerberus is one of the world’s largest and most experienced investors in non-performing loans (NPLs) and NPL portfolios. Since 1998, our global NPL platform has invested approximately $21.3 billion in equity in more than 246 NPL transactions with total transaction values of approximately $72 billion.
NPL portfolios may consist of loans within a large and diverse spectrum, including SME loans and other corporate loans, real estate secured loans (including residential, commercial, and multi-family loans), loans secured by assets other than real estate, unsecured loans, and consumer loans.
For institutional investors, we believe that NPL investing with a qualified manager is compelling because it can provide attractive risk-adjusted returns and strong downside protection.
The Cerberus Team
Our industry-leading NPL platform consists of 50 tenured and experienced investment professionals with a long and distinguished track record spanning 25 years. This integrated team works across all stages of an investment’s life cycle, from sourcing and due diligence during the acquisition process, to monitoring of investments throughout the holding period and monetization process.
Cerberus’ seasoned investment professionals, with deep experience in NPLs and structured transactions, have a vast network of sourcing relationships and strategic partnerships. These investment professionals have significant experience in multiple sectors through various market cycles, providing for a trusted reputation among financial institutions and in the NPL community.
Leaders in European NPL Investing
Cerberus is the leading purchaser of European NPLs since 2013 with an active presence in the United Kingdom and key markets across the continent.
In addition to our large-scale investment team predominately composed of European nationals, Cerberus has established Cerberus European Servicing (CES), with offices in London, Amsterdam, Dublin, Frankfurt, Lisbon, and Madrid. CES is an in-house servicing platform that gives Cerberus a proprietary edge to invest in European loans and asset portfolios. CES oversees and works closely with third-party servicers and operating partners to support our acquisitions and execute Cerberus’ underwritten business plans.
By utilizing both internal and external resources, Cerberus is able to establish robust loan servicing practices with local and regional expertise. We believe our commitment to best-in-class servicing has been a crucial component of our ability to be a trusted partner for Europe’s leading financial institutions.
The Global NPL Opportunity
The global NPL opportunity represents a multi-trillion dollar market with compelling investment opportunities that only select managers are equipped to pursue. In addition to significant opportunities in Europe, Cerberus believes compelling opportunities to invest in NPL portfolios exist in China, India, and Brazil.
As global financial institutions seek to remove NPLs from their balance sheets, Cerberus is uniquely positioned with the right mix of sophisticated financial expertise and the infrastructure, capital, and experience to service NPL portfolios worldwide as a trusted partner.
The Cerberus NPL Edge
Experienced NPL Investors
Our experienced, tenured investment team has a strong track record of successful NPL investing across multiple cycles and geographies. Since 1998, we have invested approximately $21.3 billion of equity in more than 246 NPL transactions across 23 countries.
Trusted Strategic Partner
Regulators continue to urge financial institutions to increase the pace of NPL disposals, which helps banks strengthen profitability and capital ratios. Cerberus maintains strong relationships with leading banks around the world, which has resulted in repeat transactions with many of the largest global financial institutions.
The process of acquiring portfolios of NPLs requires an infrastructure that can source, screen, underwrite, finance, migrate, service, and ultimately monetize thousands of borrowers, loans, and assets across multiple geographies. Cerberus has the extensive infrastructure and experience required to invest in NPL portfolios of significant in size and backed by a wide variety of collateral.
Servicing Platforms with Scale
Servicing oversight is essential to underwriting and managing NPL portfolios. Cerberus-owned proprietary service providers, along with our third-party servicing partners in local jurisdictions, collectively employ over 1,500 full-time employees who service more than 2 million loans representing over $72 billion in assets.
Total completed NPL transactions since 2010
Global NPL transactions with leading institutions
Countries where Cerberus has NPL investment experience