“Service to its clients is the foremost purpose of COPS Merchant Banking. COPS Merchant Banking ("COPS MB") offers all of the traditional Merchant and Investment Banking Services and more. Established as Castle, Overmyer, Poole and Schubert in 1987, COPS MB has consistently steered its clients and investors into areas that have provided maximum ROI while at the same time minimizing client risk. That is not to say that COPS MB has not ventured into the field of higher risk and ROI funding. In fact, COPS MB prides itself on its investment and support of infrastructure of developing nations as well as in creating its own brand of Life Settlement Bonds. For clients and investors, these securitized bonds mean above average yields and much reduced risk.
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COPS Merchant Banking Services:COPS Merchant Banking ("COPS MB") has a long and experienced history. The company provides sound financial advice with its ability to structure financial transactions as diverse as bond issues, note issues and preferred and common stock. COPS MB is well seasoned in reverse mergers and has strength in providing collateral of all types; both to bank financing and as backing for debt instruments. COPS MB management has decades of managing institutional, corporate and, at times, individuals’ money. As further evidence of the quality and depth of COPS MB experience and expertise, it will issue Safekeeping Receipts and is available to hold items such as gold, precious gems and other such instruments in trust. Here then, is a summary of COPS MB's services: The Overmyer Bond™(T.O.B.) - COPS Merchant Banking has created access to affordable capital to fund projects for sovereign nations and corporations. Our solution is T.O.B. The borrower provides an acceptable asset as collateral for the bond. COPS issues a bond to enhance the credit worthiness of the client's project. COPS places an order for future delivery of U.S. Treasury bonds. Upon funding of T.O.B. by an investor, COPS acquires U.S. Government treasury securities and U.S. life insurance contracts to help back the bond. U.S. Treasuries provide 'AAA' backing and they guarantee that the principal amount of the bond will be paid at maturity. Life settlements are acquired normally at 3% of their face value and they appreciate in 2 years to approximately 25% of face value. At the end of the 2-year period, COPS sells the life settlements and the funds received from the difference in cost vs. sales price is utilized to pay the interest and premiums on the life insurance policies. This process is repeated during the life of the bond. With the remaining proceeds of the bond, the borrower has full use of the funds to build their requested project. When COPS issues the bond, the bond is backed by significant financial instruments assets; U.S. treasury securities and life insurance contracts. Based upon projections we have prepared, the T.O.B. will generate enough income to pay off the bond. After the initial 2-year period on a 15-year bond, they can be resold up to a maximum of 7 times. This will leave your project free and clear without having to pay off the debt or make any annual principal and/or interest payments and premiums on remaining insurance policies. Your only costs are the setup costs and fees. T.O.B. additional information and application Life settlement bondsLife Settlement Bonds ("LSB") - COPS Merchant Banking has become a key user of collateral backed Stand-By Letters of Credit ("SBLC") using Life Settlements as collateral. They provide debt financing through the issuance of bonds constructed by life insurance policies repurchased from initial purchasers and placed into a portfolio calculated at 130% of the amount of the required bond financing. COPS MB then issues an SBLC securing the life settlement and thus backs the bond issue. These SBLCs are fully collateralized. After careful preparation and scrutiny, this bond may be rated by a rating agency and, if required, insured by a 'AA' insurer who, in turn, will provide the same rating for the bonds. Another unique feature of these bond issues is that in most circumstances, the principle and premiums of the issue are paid by the death benefit proceeds. The interest coupon and in some cases a portion of the premiums are the responsibility of the client. A portion of the proceeds from the LSB issue will be held and managed by COPS MB to cover the premiums associated with the Life Policies until the death benefits begin to pay out.
Life Settlement Bonds are one of the more perfect instruments for developing (Sovereign) nations to acquire the much-needed capital with which to accelerate their growth. Money for land development, resorts, telecommunications, airports, hospitals and other forms of infrastructure - not to mention revenue producing projects can be raised through this debt instrument. COPS MB has recognized the tremendous need for growth in these nations and has stepped into the proverbial breach. Through active and timely research, COPS MB has been able to source projects that are both necessary for the nation and that will also provide a very lucrative yearly ROI for the investor. COPS MB has been extremely active in collecting and administering these capital pools. Most of these pools have been, and will continue to be, mostly acquired offshore and offered only to Pension Funds, Hedge Funds, Corporations and high net worth individuals simply because of their complexity. Most investors haven’t the ability to perform the ‘due diligence’ required to qualify for participation in these generally higher return investment instruments. Therefore, it is COPS intent to sell to these types of investors in terms of individual policies or, more often, sell a portfolio structured to meet the needs of its client.
Direct Sale of Life SettlementsA Life Settlement is, by definition, the purchase of a Life Insurance Policy from the insured individual at a price greater than the cash surrender value of the policy, thus creating a secondary ‘cash out’ market value. The purchaser of such policies then becomes the beneficiary of said policy and, by extension, undertakes to maintain the premiums still owed on the policy until such time as the original beneficiary of the policy is deemed able to cash in for the proceeds of said ‘death benefit’. COPS MB has been extremely active in collecting and administering these policies through portfolios tailored to its clients. COPS MB builds these portfolios to meet the wide and differing needs of its client investors. The use of all life policy types is reviewed while building a specific use portfolio. Life policies can range widely in the areas of face value, contestable or non-contestable asset redemption status, and amount of premiums to be financed. A typical portfolio that COPS MB builds carries an IRR of 11-14.6%. Our clients needs determine the diversification and timeline of the portfolio. COPS MB uses only policies from highly rated insurance companies written in the United States and only whereby the (original) insured is a citizen of same. The Life Settlement industry is burgeoning and is quickly becoming the alternative investment of choice in the financial community. So much so that many top money managers of Equity and Hedge Funds are utilizing Life Settlements to balance and diversify their own portfolios. As further qualification of the premium placed on these Life Settlements as bone fide financial investments, both 'AA' and 'AAA' rated insurance companies lend a great deal of strength to them in a risk laden equity market. The low level of risk and high level of return has proven over and over to be too effective to decline. It is important to reiterate that COPS MB builds portfolios for both domestic and international clients. Whether for use in Pension or Hedge Funds, high net worth individuals or Corporations, COPS MB has built a strong reputation for matching investments to its clients needs. COPS MB has maintained that reputation with proven results and returns. While policies can be sold individually, they are most often sold as grouped pools and portfolios thus diversifying the risk and type of investment.
CollateralCOPS MB has vested collateral of all types, ranging from securitization of precious and industrial metals, to land development and life settlements. Using otherwise difficult to value assets and collateral as a means to back financing structures creates additional options that extend beyond the traditional methods.
Credit EnhancementsCOPS MB also has extensive networking agreements with insurance underwriters and financial institutions that, in turn, provide credit enhancement through use of annuities. Principle payments and interest can often be guaranteed (given sufficient collateral) for a fee; thus bridging the benefits between highly creditworthy institutions and the financial structure of a lesser-known entity (client). Through our ability to provide collateral rated 'AA' or 'AAA' by Standard & Poors, COPS MB enhances the debt instruments issued by developing nations so that they, in turn, will be rated higher than their existing rating. This materially reduces the interest costs and could, in the future, continue to increase the nation’s rating on an ongoing basis presenting a win/win situation again, for both ends of the investment. Financial AdvisoryCOPS MB provides a highly qualified team of management professionals that research and determine client’s needs and guide them through any difficulties that may arise. Moreover, it provides ongoing customer service and advice, offering to clients its wide and varied expertise in finance. This is most helpful to those clients that are growing internally and thus have a recognized need for re-organizational planning. This then allows its clients to be prepared before growing externally, or through acquisitions or any one of a range of platforms for their financial needs.
Safe Keeping ServiceCOPS MB provides safekeeping services and safekeeping receipts for physical or electronic delivery of bonds, stocks, bank guarantees, MTN, SBLC, CD and Bills of Exchange, as well as real property, chattels, and all types of other items of value. Stand-By Letter of CreditCOPS MB issues Stand-By Letters of Credit as well as Documentary Letters of Credit on behalf of its clients. Typically, these instruments are collateral or asset backed. Moreover, COPS MB has successfully issued Letters of Credit backed by the above mentioned Life Insurance Settlements as a means of raising investment capital. Letters of Credit can also be issued using with a wide variety of assets ranging from bonds to precious metals and gems, land and other physical assets.
Public and Corporate Financial ServicesCOPS MB has developed many unique opportunities undertaking public debt, financing projects for national and sub-national authorities (as stated earlier) particularly in the developing third world. COPS MB has access to a wide panoply of financing sources for all levels of government-sponsored projects; municipal, regional and national. Some of its most recent projects include securing guaranteed funds for such major and integral infrastructure projects as wireless communication networks, airports and roads. It has been COPS MB's experience over the past decade that many sound investment opportunities exist outside the usual so called ‘first’ world ventures and into the developing worlds, especially for smaller firms and projects.
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