Burford Capital Limited (BUR) 13 Aug 222022 Q2 Earnings call transcript

Thanks very much, and hello, everybody. Thank you for taking some time in what is almost the middle of August to talk about Burford and our interim results.

As usual, I'm joined by Jon Molot, the Chief Investment Officer; and Ken Brause, the Chief Financial Officer. The three of us will take turns going through our slides with you. We promised to do that somewhat more briskly than we did in our annual results call, and then we'll be happy to take any of your questions.

we the happy the to our to on announcement into -- I'd our Board. jump about an also today I'm report that we meat appointment slides, of also earnings a Before new made to also in addition

an the We in last that making. all new been as the of -- you know, appointment refresh have have Board. we of engaged overall This is we're

And be the who the fifth new is we've appointment that exciting in years. arbitration is practitioner Baruti, will director last and of appointed as two Association. the this Arbitration this experienced Rukia particularly a Secretary-General So Dr. African the an

So And sector. and racially news but only and a legal Dr. this this experienced in candidate the another very knowledgeable arbitration our to is woman, not diverse lawyer big Board. Baruti represents is a specialist, not only

breaking is the on today, Arbitration this Review already example, out For story, publication the story new the Global arbitration there. is top which news leading

presence, in that has Board it's the appointment of an So serve. terms Director. also we some certainly she's Burford's waves that a a Non-executive legal as in made to And the addition great community corporate

future pipeline, talk through cash to and as business business ultimately, the So our to investment results going and profitability of then create, which key that we we that creation the the gains of from the business two X. now for Fundamentally, the process we're turning to up always it. do. moving new progress about issues Slide through The and, sets ultimately

our the some lower-returning overall for in number watch actually to. most Burford-only are as volume shareholders that just as with will profit. drive the But is side struck of funds, largest Burford-only we ledger, commitments the Burford-only work future basis. reminder, are shareholder the a that We And of commitments terms do ultimately provide half. which because what the very commitments are business were for profit a the We measure up of pleased of new the that those the closely we the on activity, On the a the most that that statistics new record is for a to activity that includes first of is example, going significant. of level our in business drive for whole really ultimately things we

hitting that new business, way, so of even pace our recall, of the XX%. record a tweaked that partner And out also writing the and from throughout recovering will of new now pandemic it And so to the dynamic us business. to instead with new new that that arrangement here, And just the you the strong of quite we balance part as taking of new prior happy. XX% in pandemic, deals how half new been some sheet in sovereign is is a business first up that is fact record. our keep lot industry a very fund Burford wealth legal the while a wasn't work It's at a still figuring able made we've the

as sheet. so retain high to for well And is driving potential the profit that of the deals balance more those ability

really that excitement, is with we during thing candidly, that to activity other the saw resume So period. great court start the did

during especially of instances in us been finance, to their in the for represents litigation many in-person what that income income course, ability courts grew through way But all core affected a doing sign statement. our pandemic. That, from the more consolidated Our abound and have business somewhat that the of by flowed XX% is trials period-over-period. hold, life really

federal the District New not a by except to City, more court down that the be. about New you're we not fallen back. in wait case are text Eastern Brooklyn -- at XX-month year. Florida, They district that There to just still a We're still that. of can interim of vary being to with the widely of pleased very get meaningful great north other whereas sharply, has courts. district so In how all gave backlogs one of of York the a and Manhattan, In parts example than way from we're serves trial, much which anywhere of So Florida, that filing northern York, part the [indiscernible] really report, you're one close the the in geography. delay is to

court So we resume as velocity the increased look forward in portfolio to some generally. see does to activity continuing just

the I'd post-June things we've some XX side, on P&L in activity. saw we the other activity note, the The also seen to just that half, in addition first

by generate partial charges about even of One effectively of in a have other for some numbers, of many there. a we line items tax reduced discussion this million interest second companies, was or impact, remaining about -- some larger meaningful foreign level our had income in some we're matters then that more noncash a activity unrealized to a million us, none that -- that bottom affected activity. and bottom and is than though of the noncash our resolution line And And profitability would net exchange, of some and peculiarities. from partial profit our during so. invested our in a $XX $XX together interim June things rate portfolio report expect some combination -- those again, And consolidated that of our half what equal we all like in noncash XX

line. of we that in we the The had so activity where foreign income exchange sort we foreign top then P&L, this positive exchange of the the And above of quite net other is part If million negative actually thing above to our or hitting income, income. unusual exchange had stuff have bottom would the split activity the comprehensive net that because have income. added $XX another of debt the line below of had so P&L, sterling bottom just in that net foreign been line,

of billion this capital fair a again, debt activity, new is year bit raised and combination other between closed. of was that foreign a And external new exchange noncash. in which then of offering all money of two funds there the developments, we've So we $X

Slide believe, -- distress have So sheet, on on on on we This other impacts see insolvency the really to world to, graphically captures just at and tends yield liquidity But the on perhaps of to in balance making available. And we're unfortunate just the if have That's notable meaningful earlier. this economic think that the look for litigation, increased we I the And growing left, five-year graph financial we've is point start side, pandemic, the fund and total about government the that is even XX% going there. right. CAGR been thing the significant turning interest litigation, a X. we have. reality a the both -- that resources a the that particularly the the large is got somewhat there. lot stimulus. a finally, simple of portfolio is and I during we to the rates was five-year Then and decline And you

from been more XXXX, than while to consistent So able be able significantly, returns to size the business we've the in maintaining so portfolio doubling very even deliver. do able grow proud that those to been we we've have been to though

visualization record earlier the is Turning again X. sheet. just of with graphic balance left to Burford-only for commitments what I described on a Slide new This the

left together of satisfy On you And a towards the the that that then area a satisfied fairly deal a down put conditions off track know, we almost recoveries. the and cash And that a able But you shaded and billion about finally, business. has to our you deployment. talk our to X talk much would returns, before couple them. on June, actually highlight right, the high did to I of -- record it's that closing talk generate that just closing spend bit. are of we presuming repeatedly end conditions the and is those cash will not see we law That cash those time I in be often, performance show soon. these on going a about and out we've Slide our that doing returns We of going the generating asymmetric use we're deal now to large been firm what's door. slides little we for I'm because of are it and as when deployment, X $X still to

now So a demonstrating ongoing here any that cash-based model that the just and these. all for this are numbers, long-term And this I no of very is in is accounting that that would pretty clear are significant providing we're there's track and we and record. emphasize numbers a value evidence of repeatable

in indicates. the with back X. that So the asymmetric and that of distribution $X to billion cash with that's continuing to go of and And see I'll we you kinds over brought that there portfolio almost Slide the Slide Jon you X Molot turn that door in that, returns

thanks about won't and is I Thanks, as talk the YPF talk X, to of timing time and with substance On you for Slide we us all today. Chris, our matters. spending process about practice.

encourage you can a think is the to brief. lawyers lot, clear it threw just or with is because you're defendants if you, the of but I'd read wade in all lawyer The working you you a substance If have pretty them through I clear.

saying lower a summary novo option. that reply to That instead of without and is decide could in court the that the much is at in to now. Plaintiffs for that motion judgment a to And YPF the timing will grant judge them there discovery a bond meant a of to execution the at in If of and the that and resolve filed for final filed parties resolve sides, the is, full court XXX the complete trial trial. they remaining to judge May, decides Plaintiffs holding she therefore, judgment, district asking filed is stay one the judgment appeal, without will to she went those entry look decision. is April, issues. The in through is days the begin enforcement reviews de expert you she up And it judgment expert judgment end and She and a to although the both summary proceedings. disputes. fact will subject considering to shall but She a again, June has of schedule a the defendants, responsible absent summary if the will enforcement full timing attentive for at the will those if the for then of complete to do trial there'll judgment of enters hold have to court. not were on or in the grants be a reports, summary full. we motion a or argument. judgment in judgment If been briefs of defendants right issues judge So judge filed post there defendant case, of deference filed of motions that Responses obtain be depositions. the the plaintiffs, able the trial That happen -- the end holding some March. judge. the judgment oral to or without de and things. the could is If of enter trial, timing, the the court matters defendants, Basically either plaintiffs a appeal right were is discovery, as be judgment issuance law motions The managing appeals without presumably pretty review. when and hold were has deny enter summary matters. stipulated trial. resolving the summary Summary asking the as a any the be facts novo the the factual matter after following that that's

vintages, Turning give vintage bars of our each little more of the X what about in Slide red of described to what granularity our see Chris percentage to resolve investments their have percentage And has rest those larger smaller the a earlier portfolio, younger a before on the the can you had percentage surprisingly, have and a not more had resolved. recent ones vintages older resolved. cases much of

also Chris to been pace what vintages. The that to enjoyed If more explosive happened you than growth that echoes able capital. the recent a and are years ago smaller we about, look this the the to resolved at the black put continue have we've larger bars, out vintages some percentage talked earlier

for wants or The first that before. the the of have rest not the to up. from they backlogs remember, have of No moving actually point as it, up And or have we'll a whereas goes the COVID reason of structured case. the that use grown is to that but or in that catch cases to much as matters. average have of our deals by and on. remained and legacy vintages they these the potentially past and hold associated starting us of resolutions challenges And other there more to have concluded stands it our because the either pace world of can courts opportunity mentioned affected there as we with better hard Chris And goes deals duration. years, pleased extent and criminal COVID did aftermath the government the is percentage excuse, goes steady been none We're something of are subsidies along. we increase COVID, people And few the stable enhance to see delay. to that resolutions other that lost badly. working to, impacted things but increase. back, coming will has something talk chew it with has our going of at withdrawal delay were the and growing COVID the will business the to come very be use an in Remember an may case defendants forward merits. So multiple are XX, larger extension progress you Meanwhile, lead are delays of that therefore, Slide of sometimes always if more outstanding. of None past, they the has it. courts The have Chris move and alluded just over have also to life them returns the And about issue because trials grow or the are our each chew and we a incentive time from that years, fact our given time to always in There that will to and the realization They've that about when does don't turn disruptions bit very backlogs timing on. economic well are when our about. portfolio succeed, talk least, have expect weighted things relatively still that can each

And so bad or of often corporate expectations insolvencies hardship. or disappointed conduct of a in times And to deals litigation. needs leads combination litigation that financing, particularly in

a deploy XXXX down recent we're to as able So and in and the mentioned, large we've shut down, half to portfolio than that of with, slowed the poised continue right other out, right, continued when of that vintages commit period. world the I put blip now capital we've been throughout first we very to

out continued they're to courts capital. put new We reopen have have expansion opportunity we poised see to worked the on product offering. plenty geographic forward and these move our and vintages as and expanding along. And move of to We've

my Ken very a be qualitative turn it's business, discussion that time Burford at go over And it then feeling. to good the over I'll So the with of numbers. to would

figures Jon. I I'm I to unless Thanks, half basis everybody. are all good I clear through walk just a that results. make And otherwise. going get now of state our the before morning, Good want financial discuss started, afternoon Burford-only will yes, it to to first just on And I and

we asset some That on unrealized strong. income Revenue that expenses financial metrics. activity. of provision these recovery a that half included few we the last was operating a first in to a to improvement of last million $XX the income, in was and had that to rose increase compared other XX, XX% am growth revenue going in I'm first the an you Capital by provision And recall, loss conclusion the items which primarily where was may contributed gains, I indicative with as other court Operating is expense matter. related to year. detail income rose, from income way. asset starting So XX%. which, shortly. net of And And Slide have and driven total half key more year, performance, in $XX provide of million strong the topic income primarily the meaningful which on small all went management represented Despite of capital declined statement.

that as what For expense new the valuation as April month timing million reported the with due in one, although full half, a given And that's reported of bit period we period, may last a and the repayment this primarily that of was debt well for was seem loss that allowance to year debt disallowed with this our anomaly, increased tax finance in we higher of we result income the as repaid having the issue $X between expense U.S. in year purposes. balances in debt maintain issued cost interest pretax of for temporarily full in asset reporting running of April deferred the of an tax a May. related a tax like we as on a this

income. on Our of And the a many had companies, our million. currency a cash the impact though the $X our we as economic less a other it And taxes in fluctuations, dollar for are strengthening did paid but best than benefit in to global were have do bottom comprehensive U.S. business. global minimize while period negative line we impact did

represents income, which other $XX dollar $X other that exchange investments and above related So a portfolio currencies costs, to the from the resulted within manage noncash we sterling the income million that Those million. And reflects in transactional rest million debt. benefit line was $XX items. foreign excess liquidity. of pretax in on U.S. was foreign cross-currency also rise costs expense, securities OCI, our or income through in comprehensive included our exchange our and generally of that unrealized other however, the our than provision largely more sterling-denominated rates interest offset translation were in losses by than which marketable capital

reported from half which putting of The per Capital a both year. net rose to assets first per shareholders to balance support So remains And all million increase diluted together, $X.XX growth. capital reported book it with we improved from ample slightly attributable $XX.X an year-end sheet of share, future to tangible or share Burford provision liquidity in loss despite the last strong loss, Limited and $X.XX. value

asset to on Slide is which Moving management, XX.

to We an in is end the to million funds. asset period both the terms closed Fund portion to as agreement our partner. Income it, BAIF we pre-settlement And to focuses an now Burford We to allocation two we the allocate assets. asset sovereign BOF-C, raising these as on the continue which also strategy in million have with as balance arrangement the one mentioned, we funds or in next income. manager, which returning year, Advantage Burford success thereby from our our and even of successor our of shifted That the XX% Chris first and our II half, which pre-settlement matters investment highest post-settlement previous refer increasing of capital the extended fund II, Fund, split Alternative for $XXX also $XXX wealth to sheet,

prior the income in half that up declined year. increased This fees from BOF-C from fund of Management $XX assets $XX year season. increase by Asset in XX% from in growth management the to slightly million to last core as litigation the driven was first million, income the period. by primarily for continue finance period

on the of We BOF But the half fund. reflect fees period, fee both the none income declined, fee fees investment BAIF, of are arrangement from which our in performance stage well million that we and variable from as $X and first specific 'XX. fee Performance now of earn somewhat had recognized the and period-to-period past as its management we BAIF fund to of has these BOF. since rate continue is

from management I Funds forward, fees fund; BOF and going mentioned million as to earn could BOF, performance BOF-C continue Advantage strategic So from 'XX at III, fees in a Partner II we additional the fees year-end be indicated call much and and income the as basis. our II II as and management from in be And performance position BAIF on Fund. and $XXX our BAIF asset that the Burford and to we on Burford-only value March, models

are last expenses. a only to in unchanged, the year. one expenses from case-related were discuss inclusion Total operating other which half from are at the largely continue the categories percent straightforward information and our with debt. efficiency ineligible to expenses the modest in about on XX asset Slide see an notable and increase, decrease a portfolio asset Slide to large operating primarily that, for case expenditures expenses prior the group-wide charge were outside to due operating first declined that that less that ones year X% Moving And expense period, we entitlement. was Most of recovery our costs. and represent as costs these of than continued basis. presents are perspective. improvement Operating And now XX some to annualized an

X debt not the in particularly that this and next and it became but income report issued We We XXXX. maturity that deal or us year. of $XXX at a take month. reduced notes coupon used and markets the have million We interest about issued on and costs X/X% a did to that we we which X-year We carry, million it laddered positive those the bond that pleased our cash of our an I'd to is the manage of enabled our our that We should actively it view our were it's continue until of long-held before April, fixed liabilities, low maturity mention some to debt oversubscribed leverage, of also and both senior upsize an maturities our business relatively October while maintain flows, well of prudent with are our level. at and variability all to rate have maintain just price had challenging. given to fixed with be proceeds one USD less outstanding average of paid were attractive premium X.X a modest average All spread negative of all, XX just life billion a of to action years. in We small of economic to meaningfully in the X.X% debt cost a very portion a debt with reflecting that tighter maturing of now extinguishment, weighted for a under debt have effective coupon X%. proved last a XX an redemption. the weighted XXXX GBP million loss than bonds and for the $X.X redeeming us than remaining

debt XX% U.S. to covenant, ratio below covenant tangible below depending the and net -- sorry. upon type U.K. of currently are our levels X.Xx of the for between Our Xx asset the And in of equity, incurrence incurrence to level remains which debt X.Xx, XX% at well incurrent, total also bonds. well test bond tangible our we is

So up on Slide with wrapping XX liquidity.

net due of position on excess some equivalents from $XXX remarks. the cash half. Chris mentioned, just addressed. liquidity million And predominantly at the that, Chris the on it increase well in $XXX for deployments and this right excess were million to the offset to XX, debt concluding remainder Our that the increased returns in we realizations marketable the was about to securities portfolio The and that including commitment of in now I'll at liquidity. earn And new opportunities, a X.X%, liquidity million just to consists with the over with period attractive is of us back at which in to proceeds large puts end against continue turn by I the in up yield are positioned transactions year-end of we June securities. to from And deploy position marketable for $XXX made

turning And XX. Ken. much, Slide very Thanks Great. to

to sums sort with clear as progress courts both to the said, their and things ahead. Jon points what excited in continuing new backlogs I just working we're normal and the happening lies we're about during pleased have excited work our as pandemic the forward the back business made. to see really up of we've And and pandemic. as very that We're Just activity get they

through webcast. take can by And the happen verbally them lines so submitting which in are your to with we phone that, the happy on both chat function and also questions, the

the we have couple phone the a then for While that already wait questions arrived organize from I of lines, operator take webcast. to will the

begin, that To this asks be these. speeding systems court huge of up the you handling deal a from with end long use pressure needed a of was to running must long judge of Are cases was and who what that trial last get year, there the old been to all we saw time. that And of fact the in the where the there is case approaches a positively some on we have over to to backlog you are time of would the cases had deal with that map. of portfolio? have the [Triven would in-force ways a and I Grefhouse] that, an date. for court must to these say just issues such at had would was example this and or seeing case still Jon either really about before measures diversity on And But already to impact a case wait thoughts it we a your his talked turn for I a -- negatively is sensitive real are for

into which a been he the for mediation, the its put of lot slot. up so settlement go would have long before parties a ultimately case And it produced trial to pressure quite in on

see I dockets Jon, attention paying anything? think see I you -- their do do think to I So -- you'll see that. like judges do

excuse defendant something I'd Yes. thing to is using tolerate The an don't only things slow to down. of say COVID-related there want in who are the judges order

make through end, have sort just our rigorously and those and extensions law And mindset and to our moving. understand along. it's you that asked case-by-case that push firms very the they keep a very the where most on rather that's with and team. active defendants our the delays sure oppose than when postponements, And of and we is meaning think work clients that a level of I things main how for are thing we it have counterparty claimant, and plaintiffs macro our team lawyers to

the like or sounds Well, Petersen you it And judgment? to Lauber in that Mark sides summary that you have all. The we're fact case? rush Are on beneficiaries we phone at by a with so Petersen questions, not ready as might judgments both asks, to seeing might second far a U.S. to Argentina perhaps the collect the of of it's in Petersen, reduce in not. other be enforcement any against and would requested the no, signs ruling able, which seeing you comment answer ability of question are advance the is

As first come might to well. Jon sides certainly respect judgment. to question, are seeking jury Petersen, not comment Molot and and up these really But fixed nothing both on as some cases can cases. to with there's the

judge between trial doesn't and is, it significant. does And what distinction so engagement the the exist therefore, here. jury and is between some does And less the what distinction the considerably

can And to matter many so of plaintiff you issues go need law you're a is to a you as is defendant or to as whether as what summary judgment a resolve before trial. for,

sides both Jon, it at surprising that and see would not been it's anything so has expected And always summary [indiscernible]? judgment. all,

operative are over. conduct the that not the that to document add in the just fighting consequences Everybody the right? Everybody knows only case are this legal or facts knows that dispute would I what complicated, It's said. what was. people of

the before decide judgment. if summary rather We'll that a see be for matter Chris said, And battle as so having needed, the at facts. that it's the judge fought would both surprise but trial on move the that is makes a not law may of that than sense is the trial sides judge all, it a over

if third the the charm time phone is see respect we'll to with So the lines.

Chiaverini a have Wedbush question of from now David We Securities.

the relates one record matters Would see commitment. given first more could level. the and in great new of to to is funnel selective? was be say expanding your ability this top new to environment more The lead the the It commitment profitable to that you

and One and the reality causes now that top bottom. that might its on. want we the lot change that, the a that an with. longstanding that We've to lovely stuff pretty that desire in of of talked fact, awful one funnel. a takes while winnow no it over very seem lot have two we ended the top it a because quite saying funnel. And relationships that What a on is we it in other also a coming selective and the challenges. lot amount lot we what of we about people the the that to effort ongoing have stuff small our to that is comes up in it means right large hand, years is shape that of little volume is means so obviously bit. are are that at call through that it comes the cost The client therefore, And And

like the educate lot though try their that we market a quite about counterintuitive, narrow lot reason spent do or a -- don't connected what trying doing funnel. it as to matter to It's quality litigation that because of of to a of their quite actually And connected is to we So merits. even spent isn't of up the that What time matters outcome start finance the the time end we the and necessarily is outcome. in with of actually we the matter a sounds and perceive economics. the able parties their of a off we economic room we the client that possibly there's that the lot enough amount to the viable way leaving take have. believing settlement just court would likely forward not or to to to the collect. legal desirable going what We is award combination going a our while returns fees realistic case often lower that than a find to of to significantly number value the for be the And we're judgment case, be the

we're quality it's so to not size we're -- trying go more And volume for to and go than for trying there.

the of not there quality And law firms some that would one which think for the meaning they important. very the are thing, positive But question. counterparty I And everything probably of just And that our I is that's and would seemed top going despite a like said. were think agree I that that are look of our for Chris -- need or a expansion most add I is financing. have the positive your to financing us companies one now development, significant with dynamic the positive calling financing is our funnel that's is do today, I addresses years that think one that ago just completely

the a XX% fund, on XX% retaining question Burford the now then And how wealth the previously. versus with is sovereign agreement

motivation to guys background very Burford on opportunities sovereign you as as these highly Curious economics curious to profitable on that there. it yourselves what Was or being with to that Burford wealth wanted the take more opportunities risk of more share with? was? the see the fund Just the wanted did

It capital on a been the motivated And a us, maximize to really. that it you latter, Burford-initiated what with that we access, capital arrangement. have to as balance able for to was desire the was change sheet the returns was shareholders. the it's say, Yes, incremental equity

in that at dynamic is a therefore that's committed and a but wealth recoveries there a significantly -- there's that COVID point, sovereign was commitments it is large though capital, fund. gap quite at gap pool other of deployments with play it even and The slowdown, this the of the between because fund

got And the left of so reducing and diversity sharing little some extended portfolio basically more mechanism what's that bit. XX%, also to a life by into its we

the So thinking that was that. behind

Just average that. expectation to kind on us life four your on portfolio years? Jon, Is you me. remaining the for us weighted remind the what forward? life average for Can update about one it mentioned is last you steady. then three of kind of going And weighted

changes think just projected in we don't I change. don't average -- we've I that's I have weighted something life think don't put out. how will

in that's right it's because -- go the dynamics that's Yes, both and of and hard sort right, directions.

On big quickly. the weighted level the keep in their we one because fairly current resolved hand, other lengthening hand, expect life's But pandemic. the on things of see having you'd a from to average

one I've example, that that pretty matters our already resolution described of all the for happened in large quickly. So partial happened that last month,

will the average the a of size, little and we down so there probably And life weighted combination bit. speed drive

we sort projection don't said, forward-looking the a it. have it's moment. bag for Jon a mixed So as And at of

line of Jefferies. Roberts We the Julian on have the from next question

two, have okay. if I that's

individual allowed vision matters of The one period? in is? what first portfolio us the us second gains And the the one value cases tell total direct the of saw any characteristics XX is, is, tell then to fair that in Burford-only to you of are capital are the the number you able

see and we top of you're obviously know let's going there's are amount don't or am you head we illustrative, a that But we I don't portfolio. it, through and not. individual of off do the matters what hundreds the But there multiple total the large publish call -- that obviously out if to individual matters I positions. I if number to. of know top the sure to that, portfolio, matters not to in the many call take of you go We all XXX hundreds the assets how But think individual my publish assets. The have potentially But the, that. they respect compared I number large know statistic look matters, our of with we way if at only Burford-only them up that now. don't claims I individual in as

a is in in policy As XX that some we change change short and that the matters through based for the Julian triggers milestone fair that activity. has action It's or value in to what our we answer. the a on that's that everyone's the characteristics cases. a be in their not to under formula a valuation was the an the referring fact And change, of a It's map period, is pass there value just sentiment benefit, court have did the be that carrying trigger most use. entirely had approach. the cases court period, things over six-month judgment, going to there but it's to data-driven formulaic all The

that's So example, meaningful case thing change the a to case. change would life past judgment of one is the for going, going trigger summary in going the be a

in assessment willingness impact to the the in on. parties that the the decides decision filed some always has motions going of party's the the judge court and of so occurred settle Petersen, is almost just where meaningful a So has case them, and party's and

the show are value So what that fair a would cases and to we stages. those example changes one the footnote points cause table them. a valuation each in financials be shows individual an the of of percentage that of We represented of in the what actually, have that changes of by portfolio, percentage

that look a get So of going has what you at table can been sense on. and

question Shepherd-Barron Hunt. another line from Peel have now We on Andrew the of

three. maybe questions, of couple A

First And on of to more arguments. shortly, mean I been say if trying going recent -- you to a to what Petersen have everything defendant that oral -- to can to arguments, addition a when the is I is one, mean, about seems the the norm? oral just case may, if postpone line appeal I is wondering, surely, sort the pack. to they're the and time I'm the

you just talk take? So long little they then can about And might how a bit that? more

Yes, sure.

are the to argument before and questions don't will parties I information, Other want have get up I the argument. like -- who mind to briefs hold court my to say, I more and along make I've will oral have courts once useful. need approaches say the where opinion. realize I'll There and where oral them, with opinion know I when I what far the times, and that my the when -- schedule different I oral so fairly have can argument my different made they'll hear I'd some court from writing to start read think will I I've

to not the may it court, different So it just maybe from -- it's different court mean, two depends same it differently depending the in judge be just do cases, that could matter. I on

reflect the into of appealable Basically pace the think the -- the the and -- defendant court of So read issues. that necessarily court. the by can't the court, it's that, appeal you thing work argument. timing I the oral of you final judgment is can anything the only is can argument doesn't oral don't The

this few court parties a it try by But day. to and Can postpone you that my days? say court I'd court if we can that, So in think when have the argue. but scheduling okay, court say, court close court fairly no conflict and and date together to working says, room I they a show like -- date says, the could my to a show in a the up find you say, you and postpone to the up on defendant a I want don't I might

or if be I by -- plaintiff judge? mean, given typically So much the notice would defendant a how

very where Well, I in with this there's very motions case minor circumstances days. notice, little mean, we've few had a

give I several think weeks my it be court would think guess. I -- to want long that for the that's But the expectation. just would parties dense, and would the briefing this

court the from to delay relating me. Second, question

line reason that you've of why seen You picking which now, rate the rate up Can industry sort I industry see said the up. conclusions there picking the in we norms? case in is you should there any case, demonstrate that court accelerating? shouldn't presentation in of that of be say, And any cases activity, statistics -- is are with

was data quoting federal the trial time the of that earlier timing of There's in was to quite New about -- source a courts. that in in and lot for Florida. out levels there statistical the U.S. those York And activity I

So tell are cases right how many comparatively filed, actually you is which a being at low can level now.

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realizations And third been like. -- any cash if wins Clearly, it's I focusing make and half. such you Can may. give say proceeds first I subsequent I of and post and normalized slow any mean, rate be a you on question, that what cash about would the portfolio, you proceeds cash pretty could ideas do you the events. hear But from you what existing could think expect? in

long And about too clear how in think as we And that cases we've are talked projection is modeling the about internal of to the presentation duration. takes and to record the said Day variables internal I then while one someone same in being with that do. just we a no. things to past. beyond model courts. good that in showed understanding that and have it and unveiled idiosyncratic able is don't get mix the the that activity pretty made have extensively We long There model ability we Jon, Investor and our do for through outcomes, many a track been project we generally we have at

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We Numis. of now have Hamilton James

the to [technical second million $XX difficulty] size. difficulty] billion in the relation half, reasonable $XX expected [Technical to How does math of one? its deliver you you the a billion, $X.X that realizations. first wondering, the the expect fit obviously $X.X profit And plan in presence obviously, in million is just I'm

that more question thoughtful of a part James, but your you're not that other suspect something I'm following that. asking I'm entirely sure, than it, it's I to than say

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question understand the I Yes, now.

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answer generally yes. the comment, is but think I Jon can

conclusion average to addendum after don't us to there regularly changes cause and that believe We going value slides for anything? the If has I Jon, you think change been we've data that of time dramatically. publish regularly -- and and these we the to have about that's in published to think it in fact. happened. shows that sort nothing have

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and generally our the of, third-party our complete to strategy management the where got core is management in strategy that the the private back is now So few asset of growing your bottlenecks return turn a funds have we'll left. a we way challenges And of we've What our business So having as risk funds legal forward? a the spectrum asks, world business? asset finance. what webcast minutes going to extensions have use in across speaking, offering [Marcel now we are Shaver] and business. And line

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in a comment at and that? And want Omechec] dynamics really [Andre between whack And from please you cases to do the expected that's So we strategy you the within Jon, on it's ones? Can on ROIC changes using larger and smaller larger differential value private smaller you -- elaborate also asks, cases? continue intend to there. take it. competitive also and the funds webcast, business can the

Sure, sure.

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to. range As good a capital It's are offerings I question small expanded said we've we we've geographically, But the pay of who have our about versus interested something in earlier, well. our expanded expanded close large. and as counterparties attention that's

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court that. YPF ruling of for suppose are de collecting worried are I'd in So the economic with So worsening advent a of you in situation part important, enforcement-related have same and a creditors. independent positive debt given you just and in sovereign between The as and when but There debt the subject whole terms, generally usually to terms, a actor. response of Emmanuel sovereign enforcement Argentina, I is the actually which sovereign things of to of asked, the Figueiredo group couple say agreed other. speaking, really Burford? sovereign the holder, That a question the on -- the loan, you this dynamic judgment. or you're only that is debt reach when as the quite not, get arbitral documents and one in isn't not tribunal are a One a a acting lot. When decisions to -- you we on of the is this set you're holders debt you've include hand are distinction court also defaulted stand-alone an

our say rejoined But remedies are And there's consistently have opportunity since mean sovereign of enforceable If you're the begin free you you also key not significant and it's in part roadblocks capital to to cases. remedies have Argentina It's the actor, basically of against to a an paid ability Argentina recalcitrant those debtor in of judgment that. judicial an is that sovereigns ever available the we use doing. something enforcement that obviously take as judgment. independent you, as using to it's has have awards, for and easy. these that you collection to arbitration markets. we and That set we meaning go consistently debt do when immediate And experience and style underwriting on doesn't that an block a notable the soon past

macro going on or the publicly would you to But we're enforce how see to strategy that Argentina we're to the And subject in against be. of our so that might with play add anything same not Jon, what comment to before dynamics to forces sovereign not debt. specific close? we

No.

holder. course, about having Just as said, it's, the attention pay being difference judgment understand we we we -- to, you a sovereign it, and we Chris between worry debt but something ask when a of -- court do we're

this year And federal case finally that XXXX. long-running end. in we're became the excited court case involved filed bringing in U.S. in to this about we We matter the That's in this an

So we'll in next to line to what the quite the close finish and exciting coming seven-year case. see really in be being now sight that finish slog, it's after happens a line,

So before some long. after wait, hopefully, too news will case that be there long a in

And tunnel, much questions aspect for delays and But business. thank all your offline with the that, there support and the we your pandemic for of in general. always excited Burford's and thank time have we're of turn, we're YPF light while attention. you the at have, any it. very appreciate about And obviously you happy end endured courts in is We that in really in both in and court the patience to

So thanks of the rest all, August. and enjoy

you. Thank