Disciplined CMBS investing with active credit selection
Capital Finance Ltd invests in investment-grade and below-investment-grade commercial mortgage-backed securities through both primary issuance and secondary market opportunities. Our strategy is credit-first, with selective pool participation and rigorous downside testing.
As an active B-piece investor, we focus on structuring clarity, loan-level underwriting depth, and alignment with issuers who value transparency and execution certainty.
Platform Snapshot
- 30+ CMBS primary and secondary transactions completed
- 1,600+ underlying loans reviewed across portfolios
- BDT 3,000 Crore+ cumulative CMBS capital deployed
- BDT 130,000 Crore+ aggregate underlying loan face value
- Issuer relationships across leading regional and international platforms
30+
CMBS transactions
1,600+
Loans reviewed
BDT 3,000 Cr+
Capital deployed
BDT 130,000 Cr+
Underlying face value
How our CMBS strategy creates value
We combine differentiated sourcing with strict pool selection and loan-level analysis to improve risk-adjusted outcomes.
Differentiated Sourcing
Long-standing issuer relationships and active secondary coverage provide consistent access to high-quality opportunities and negotiated structures.
Selective Pool Construction
We avoid outsized concentration risks and prioritize pools with stable collateral composition, resilient cash flow drivers, and balanced property-type exposure.
Downside-Oriented Underwriting
Every transaction is underwritten with scenario testing, portfolio-level stress analysis, and practical downside mitigation recommendations.
Typical CMBS investment parameters
Guidelines below are directional and evaluated case-by-case based on collateral, structure, and market conditions.
| Deal Size | Typically BDT 50 Crore to BDT 2,500 Crore+ equivalent pool participation, including larger opportunities for compelling structures. |
|---|---|
| Security Focus | Investment-grade and below-investment-grade CMBS tranches in both new issuance and secondary market opportunities. |
| Collateral Profile | Income-producing commercial assets diversified by property type, tenant mix, geography, and maturity profile. |
| Risk Controls | Pool concentration limits, downside stress testing, covenant and structure review, and selective loan exclusion recommendations. |
| Market Coverage | Bangladesh-focused mandates with selective regional and cross-border opportunities where risk-adjusted returns are compelling. |
CMBS diligence and execution framework
Our process is designed to combine speed with depth across sourcing, underwriting, and portfolio construction decisions.
Sourcing and Initial Screening
Evaluate new issue and secondary opportunities through issuer channels and direct market intelligence. Initial screening focuses on collateral quality, structure, and expected return profile.
Pool Selection
Prioritize pools with durable cash flow characteristics and avoid exposures with disproportionate downside concentration risk.
Loan-Level Diligence
Conduct loan-by-loan review of asset quality, sponsorship, market dynamics, tenant profile, and repayment pathways supported by third-party data where required.
Underwriting and Stress Testing
Run asset-level and portfolio-level scenario analysis to assess durability under adverse assumptions and determine acceptable risk exposure.
Execution and Monitoring
Finalize structure, execute allocation, and maintain active portfolio monitoring with ongoing performance review and risk management discipline.
Looking for a disciplined CMBS investment partner?
Share your upcoming issuance or secondary market opportunity. Our team provides timely feedback on structure, risk alignment, and execution feasibility.