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HOMMOCKS
Overview
Hommocks Trade Finance Fund is initially seeking $75 million to launch a trade finance platform, projected to grow significantly over time.
Hommocks will provide short-term collateralized/discounted direct loans to commodity traders, producers and distributors
Key industry exposures: energy (oil and gas), metals and agricultural commodities
Financing structures include receivable finance, payable finance, inventory finance, transit finance, prepayment loans, repo finance, mezzanine debt and other forms of short-term working capital finance
Regions: US-focused, but globally diversified
Individual deal size: up to $15 million
Individual deal tenor: 60 days on average
HOMMOCKS
Opportunity
Deep Market
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- Hommocks will compete for a slice of the $1.5 trillion market where banks do not participate.
Fast Growing Market
Global trade volume is projected to reach $26 trillion in 2026 with 5.9% CAGR
Currently undervalued because trade finance market is less understood than stock or bond markets and has limited access to capital markets
Low Historical Defaults and Volatility
Trade finance deals historically have had only half of the default rate of S&P-rated corporations
Trade finance historically has not been correlated with stock and bond market volatility
Initial assessments, risk grading, background checks, on-site due diligence, and application of risk mitigation instruments are implemented to reduce risk
HOMMOCKS
Solution/Strategy
Significant expertise in financial markets and credit analysis
Team of experts from trade finance and commodity industry
Long-term familiarity with markets and cycles
Robust credit analysis and rigorous risk control process
Continuously monitor collateral, covenants and investor reporting
HOMMOCKS
Management
Jun Ogasawara
(Founder, CEO / CIO)
Seasoned trade finance professional with over 30 years of experience in New York (26 years), Tokyo (4 years), and London (3 months) at premier international banks including Societe Generale, BNP Paribas Fortis Bank, WestLB and Citibank
Head of Commodity Trade Finance team at Societe Generale New York from 2009 to 2019. Average $700MM portfolio size
Bachelor’s degree in commerce from Chuo University in Tokyo, Japan. MBA degree from Rotterdam School of Management Erasmus University in the Netherlands
Fully registered broker-dealer with Series 7 and 63 licenses (broker CRD#2816172)
Bi-lingual and bi-cultural in English and Japanese
George Padilla
(Chief Credit Officer)
Founder of Copper Street LLC, established in 2020 in Phoenix, Arizona. Focus on credit risk and treasury management services for any size business
Credit professional with extensive experience leading teams across a wide variety of corporate environments and functions domestically and internationally with a focus on credit risk management
Global Head of Credit for Phillips 66 and its predecessor companies ConocoPhillips, Phillips Petroleum and Tosco Corporation for over 20 years. Followed by similar positions with Marathon Petroleum, Andeavor Corporation and Western Refining Company
Led a staff of credit risk professionals located in Texas, Oklahoma, London and Singapore responsible for a $4 billion receivables portfolio across > 5,000 domestic and international companies
Paul Schaffer
(CFO / Chief Compliance Officer)
Over 35 years in finance and operations
Last 12 years spent at an alternative investment private equity firm as CFO, Chief Compliance Officer and operations manager
Prior to joining the private equity firm was employed at Citibank as business CFO/ controller for 19 years
Prior experience as senior auditor for legacy “Big 8” accounting firm
CPA and CMA. MBA from Fordham University, earned Dean’s award for academic excellence. BS in accounting from University at Albany
