IIG Capital

International Investment Group (IIG) is an American financial institution that specializes in short-term trade finance and commercial finance with a focus on emerging markets. Through its affiliate IIG Capital it is instrumental in providing financing to small- and medium-sized merchants, traders and processors with a need for supply chain financing.[1]

International Investment Group LLC
TypePrivate
IndustryFinance
Founded1995 (1995)
FounderMartin Silver, David Hu (cofounders)
Headquarters
New York City
,
United States
ProductsTrade finance
Websitewww.iigcapital.com

Founders

The company was confounded by David Hu and Martin Silver. Later David Hu was sentenced to 12 years in prison for running a scam and defrauding customers of over $120 million.[2][3]

Background

The company is headquartered in New York City, and has representatives around the world.[4] It serves clients internationally.[5] The company primarily focuses on facilitating the financing of trade transactions involving commodities that can be hedged and liquidated easily.[6] These transactions are often between sellers in emerging markets and large companies in developed markets. The company uses a structure it developed called “transactional equity,” in which the firm helps fund the down payment required from a merchant seeking financing from a bank. This enables the merchant to qualify for the bank financing.[7]

Another of its affiliates IIG Bank Malta, provides private banking, wealth management, corporate banking and trade finance in Malta.[8]

References
  1. Blessing, Sona (2011). Alternative Alternatives: Risk, Returns and Investment Strategy. Wiley Finance. p. 125. ISBN 978-0470683965.
  2. "Investment Chief Gets 12 Years for Running $100 Million Scam". Bloomberg.com. 2022-04-11. Retrieved 2023-03-06.
  3. Berman, Jeff. "Ex-Head of RIA Sentenced to 12 Years in Prison Over $120M Scam". ThinkAdvisor. Retrieved 2023-03-06.
  4. Marks, Kenneth H. (2009). The Handbook of Financing Growth: Strategies, Capital Structure, and M&A Transactions. Wiley. pp. 356–358. ISBN 978-0470390153.
  5. Schaap, Paula (April 2009). "Trade Finance Firm Sees Opportunities from G20 Meeting". HedgeFund.net. Retrieved March 19, 2011.
  6. Rocchi, Cate (June 2001). "A Safe Bet". Hedge Funds Review. Retrieved March 19, 2011.(subscription required)
  7. Marks, Kenneth H. (2009). The Handbook of Financing Growth: Strategies, Capital Structure, and M&A Transactions. Wiley. p. 113. ISBN 978-0470390153.
  8. "Welcome to IIG Bank". IIG Bank. Retrieved June 8, 2017.


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