Due Diligence upon Asset Acquisition
Buying the right assets at the optimal time and price is essential to reaching your goals. Should acquiring additional assets encompass a portion of your investment strategy, NorthStar offers acquisition due diligence services for prospective policy purchases. Based on our years of experience working with investors in the asset class, NorthStar has pioneered a dynamic and proactive approach to asset due diligence, allowing an investor to gain a complete perspective on the asset’s value to the portfolio. Our robust evaluation methodologies are designed to help an investor avoid overpaying for assets and avoid purchasing risky assets altogether.
We examine a myriad of critical factors that impact pricing and risk, such as ownership history and financing structure to identify any insurable interest issues
- Our underwriting team reviews the integrity and congruity of medical records, in addition to the consistency and completeness of life expectancy reports
- Our legal experts employ their vast knowledge and robust processes to ensure that assets being acquired have strong insurable interest and clear title. This enables our clients to avoid purchasing risky assets that may be subject to subsequent litigation, and maximizes the potential marketability and value of assets acquired.
- Our policy servicing team reviews the policy status, account values and future premium requirements of each asset by analyzing arcane policy characteristics and assumptions.
- Our pricing and trading team reviews asset and portfolio values and model calculations, in view of risk factors identified by the other departments described above, to assist the buyer in making the optimum acquisition decisions.
Overall, our acquisition due diligence includes data and document review and analysis, including in-depth auditing procedures second to none. NorthStar’s assembly of a pristine case package helps to keep portfolio owners fully apprised of their investments’ characteristics while simultaneously enabling us to properly service a life insurance portfolio.