Funds

Credit Evaluation and Support

Funds are required to undergo an external credit review by one of MFX partner credit rating agencies.  This generally takes a few weeks and has a one-time cost to the client of $6000.  This is the only fee charged by MFX

As long as the Fund is deemed “creditworthy” it is not required to post collateral.

The rating methodology categorizes counterparties into Tier 1 through 4, Tier 1 being “High creditworthiness” and Tier 4 being “Not creditworthy”. The creditworthiness is based on an evaluation of portfolio quality, performance, capital structure and liquidity and treasury management. (e.g. Luminis’ Basic MIV Requirements.)

Funds

All Funds are required to undergo an external credit review by one of MFX partner agencies.

As long as the Fund is deemed “creditworthy” it is not required to post collateral.

The rating methodology categorizes counterparties into Tier 1 through 4, Tier 1 being “High creditworthiness” and Tier 4 being “Not creditworthy”. The creditworthiness is based on an evaluation of portfolio quality, performance, capital structure and liquidity and treasury management. (e.g. Luminis’ Basic MIV Requirements.)