Capsphere uses a proprietary credit assessment tool, specifically for assessing the health, financial and business risk pertaining to issuance of the Investment Note.

At the time of application, Issuers are asked to submit key information on their company:-

• Financial statements
• Bank statements
• Information on the management team
• Their business model.

Based on our assessment, each Issuer is categorised into a range of risk classes ranging from A (low credit risk profile) to F (high credit risk profile). These risk classes are published on the Factsheet to ensure transparency on the risk levels of each Issuer.

In addition, we also rely on credit bureaus to provide information on the Issuer’s creditworthiness and previous behaviours (e.g. delinquencies).

What makes Capsphere stand out is that our investment products are asset-based (collateralized). Through asset-based financing, we are able to safeguard the interest of our Investors whilst mitigating risk when investing.

Our team keeps a close eye on all Issuer payments. In the event an Issuer is unable to pay, Capsphere’s recovery team will engage with the Issuer. If necessary, we will restructure the Investment Note which usually consists of a tenure extension. At this point, Investors will be notified.