Subject: Re: indication on WTI risk reversals From: Richard Kahn ‹ > Date: Fri, 10 Jun 2016 17:06:12 -0400 To: Andrew King Cc: Stewart Oldfield Vahe Stepanian Daniel Sabba Joseph Dursi ‹ > thank you for all your work on thisbeen distracted on a project so lets discuss monday thanks Richard Kahn HBRK Associates Inc. 575 Lexington Avenue 4th Floor New York, NY 10022 tel fa ce On Jun 9, 2016, at 2:14 PM, Andrew King ‹ > wrote: > Rich, First, as a quick introduction, I'm an investment specialist on Stew Oldfield's team. I look forward to working with you. I've attached a factsheet for Spectrum, the SMA manager of preferred equities Stew referenced. We took a look at the loan-to-value available on a portfolio of preferreds (including the SMA portfolio) and unfortunately, due to Reg-T, we'd be limited to a 50% LTV (2x leverage) using a traditional margin facility. We're exploring solutions using a total return swap to provide potentially greater leverage and will be back to you as soon as possible with some ideas. EFTA01414556