ACE&Company Corporate Presentation 2022

About ACE & Company

ACE & Company (“ACE”), founded in 2005, is a global private investment platform, specialized in direct investments for private investors and supported by a perpetual investment group, ACE Investment Partners.

ACE’s passion is finding investment opportunities where we have an advantage through many years of relationship building, a carefully developed position of knowledge in the sectors in which we are active, and a culture of efficiency to gain a first mover’s advantage.

ACE’s purpose is to offer investors a long-term and collaborative investment approach that values honesty, transparency and rigorous execution, so that our strategies not only provide unique access to value accretive, risk-managed deals, but foster what we consider our bedrock—trust.

ACE’s progress has been marked by a globally respected track record since the Company was founded in 2005. In the last four years, we have increased our total assets fivefold and in 2017 received FINMA authorization. With headquarters in Geneva and offices in London, New York, Hong Kong, and Cairo, our global presence brings us in direct contact with investors, corporate partners, and entrepreneurs, offering an exceptional network of opportunities across our diverse investment portfolio.


Vision

A leader in diversified investments for private investors

  • Dedicated to sourcing niche opportunities with diversified exposure and accretive differentiators
  • Leverage specialized knowledge of our network to create value for investors
  • Facilitate the allocation of capital to improve risk adjusted returns

Structure

A transparent investment platform into the real economy

  • Provide investors with direct access to and clear information on opportunities
  • Best-in-class management teams addressing defensible market opportunities
  • Mitigate risk through robust structures and disciplined processes for sourcing, due diligence, and execution
  • Regulated by FINMA, Switzerland’s independent financial institution regulator, and the U.S. Securities and Exchange Commission (SEC)

Alignment

An investor-owned company with a principal mindset

  • ACE’s majority shareholders and partners are the main shareholders in ACE Investment Partners (“AIP”)
  • Leverage our relationships and proprietary sourcing channels to originate quality flow of opportunities
  • Capitalize on our proven team with global reach, expertise and execution excellence
  • Align the interests of our stakeholders around common objectives and goals through flexible structures

Strategic Positioning

ACE is strategically positioned between private equity and venture capital funds, independent investors and investment advisors, and is therefore able to understand our clients’ needs and provide relevant products and services in response.

Alignment Of Interests

Founded by private investors, a proprietary capital approach to investing is strongly anchored across the firm.

Broad Exposure

ACE’s geographic reach and broad network of investment partners provide access to a wide range of opportunities.

Specialization

With over ten years of operating
experience, ACE has gained
substantial experience in
structuring successful direct
investments.


ACE in Numbers

3 Product Strategies

1.7 bn Total Assets *

160 Portfolio holdings

$426 mm Total distribution **

27 Companies over 3x

*Total Assets are assets under management combined with assets under advisory
** As of 31 December 2021
*** Includes partially exited companies


International Footprint

North America

Office in New York · 129 Investments · 69% AUM · 29 Exits

Europe

Offices in London & Geneva · 44 Investments · 18% AUM · 6 Exits

Asia

Office in Hong Kong · 21 Investments · 8% AUM · 3 Exits

Emerging Markets

Office in Cairo · 17 Investments · 5% AUM · 2 Exits


Executive Team

Adam Said

Founding Partner
CEO
Investment Committee
Geneva

Sally Beh

Partner
CFO & COO
Investment Committee
Geneva

Sherif Elhalwagy

Founding Partner
Head of Secondary
Investment Committee
Cairo

Mazen Daou

Partner
Head of
Investment Solutions
Geneva

Charles Lorenceau

Founding Partner
Head of Venture
London

John Joseph

Legal and Compliance Director
Geneva

Audrey Dumas

Head of Investment Execution
Geneva

Investing with purpose


Corporate Governance

ACE believes that corporate governance is central to creating lasting value and is committed to the highest standards. ACE is regulated by the Swiss Financial Market Supervisory Authority (FINMA) as an Asset Manager of Collective Investment Schemes and the U.S. Securities and Exchange Commission (SEC) as a Registered Investment Adviser.

Board Of Directors

Responsible for ensuring the availability of adequate capital and managerial resources to implement the strategies adopted, and the adequacy of financial resources, internal controls and the conduct of business in conformity with applicable laws and regulations.

David Huyette (Chairman)—Unifund
Omar Romman (Vice-chairman)—Ace & Company

Adam Said—ACE & Company
Charles Lorenceau—ACE & Company
Dalia Said—Roots Capital
Philippe Jacquemoud—Jacquemoud and Stanislas
Ramzi Wakim—Avangard Advisory SA

Executive Committee

Manage the day-to-day operations of the Company and execute the strategies adopted. Provide direction on the Company’s strategies, development, performance and risk management.

Adam Said (C), Sherif Elhalwagy, Charles Lorenceau,Omar Romman,
Sally Beh (VC), Mazen Daou, John Joseph, Audrey Dumas

Investment Committees

Review and approve Initial Assessments and Investment Reports. Approve all investment and exit decisions upon fulfilment of due diligence requirements.

Venture: Adam Said (C), Charles Lorenceau, Sally Beh, Sanjiv Garg,
Rob Callahan, Steve Salom

Mature: Adam Said (C), Sherif Elhalwagy, David Huyette, Rob Callahan,
Sanjiv Garg, Youssef Haidar

Risk & Audit Committee

Assess the group’s risk management, compliance, legal and regulatory requirements. Review the adequacy and integrity of the financial reporting process.

Philippe Jacquemoud (C), David Huyette, Dalia Said

Valuation Committee

Review and approve the valuation policy in accordance with valuation guidelines and industry

Audrey Dumas (C), Sally Beh, Antoine Meunier


Progress Through Efficiency

A transition from growth to efficiency in both production and consumption habits will be driven by environmental, resource, and inflationary realities. New technology applications across industries will continue to gain market share on continued demand for advancement across social groups and regions, especially in developing nations.

Pricing of Externalities

Positive and negative externalities, such as regulatory decisions and social pressures, will increasingly drive business valuation. Businesses will increasingly demand technologies to measure and mitigate the effects of these externalities, which will drive an entire industry that will include both voluntary and regulatory participation.

Financial Disintermediation

Through technology and new operating models, long established institutions and ways of doing business are being bypassed in favor of more efficient models. These trends may expand beyond financial markets and extend to other physical and digital service

ACE approaches investments thematically in order to capture opportunities created by the impact of long-term economic, political, and social trends.

Multi-Polar Politics

Growing adoption of blockchain technology and distributed exchanges will drive the virtualization of the real economy. Modern financial experimentation of the monetary system, the growth in liquidity, and regulatory systems have exacerbated this trend in recent years.

Sharing Economy Expansion

Economic and social activity will increasingly depend on shared services, products and experiences. This will drive improvement in accessibility and broaden social inclusion across markets.

Superior Knowledge

Major shift in technological knowledge through machine learning, artificial intelligence, and rise of quantum computing power will produce a knowledge base that is far superior to that of humans’ capabilities across industries in unexpected ways.


Investment Platform

ACE offers three core investment strategies across the stages of private investment: Venture, Buyout and Secondary. Our portfolio construction guidelines are designed to ensure that our investors access the necessary customization to achieve their risk and return requirements.

ACE aims to drive returns by managing risks; strategically adjusting investment exposure to the stage of a company’s development. We strongly believe that diversification and sizing of investmenst to the risk profile is the most accretive approach to investing private capital.

ACE’s specialized investment teams provide the support required to create long-term and sustainable investment results.

Venture

ACE’s Venture strategy is investing in the fastest growing category leaders across different industry verticals, mainly through direct investments. By leveraging ACE’s unique network of sourcing partners, investors gain preferred access to opportunities around the world. The strategy focuses primarily on exceptional entrepreneurs and highly scalable, tech enabled companies in very large markets. On a case by case basis the strategy may also consider earlier stage opportunities with attractive risk-return profiles.

Portfolio managerCharles Lorenceau
Average Holding Period4-10 years
Portfolio Holdings88 Companies
Total Assets$387mm
VehiclesAESP I* / AVO I*
Vintages: 2011- 2016
AESP II / AVO II
Vintages: 2017-2019
AESP III / AVO III
Vintages: 2020-2021

AESP – ACE Early Stage Partners/ AVO – ACE Venture Opportunities

Buyout

ACE’s Buyout strategy is an opportunistic, direct private equity portfolio co-investing alongside top managers in their core areas of expertise. The strategies objectives are to deliver a direct private equity portfolio with superior asset selection and higher returns vs. traditional funds. In order to do so, ACE selectively invest alongside emerging sponsors in opportunities that provide superior alpha generation potential in addition to focusing on buyouts and growth equity investments in businesses with strong and free cash flow. The strategy seeks to construct a diversified portfolio of 18 – 25 investments, targeting $10 – 15 mm per investment in 6-10 deals per year.

Portfolio managerRob Callahan
Average Holding Period3–5 years
Portfolio Holdings58 Companies
Total Assets$710 mm
VehiclesABO I
Vintage: 2012
ABO II
Vintage: 2014
ABO III
Vintages: 2017
ABO IV
Vintage: 2020
AEMS I
Vintage: 2022

ABO – ACE Buyout, AEMS – ACE Emerging Sponsors

Secondary

ACE’s Secondary strategy offers an attractive risk-reward profile relative to primary private equity due to blind pool risk mitigation and accelerated cash flows. In addition to acquiring funds at attractive prices as a result of ACE’s strong knowledge of global GP’s and secondary institutions, ACE follows a methodical process to understanding where opportunities lie and how to price them. By combining relationships, robust due diligence, and efficient execution, ACE’s secondary investments program has delivered outsized returns to investors relative to its peers and global benchmarks.

Portfolio managerSherif Elhalwagy
Average Holding Period5 years
Portfolio Holdings265 Funds
Total Assets$145 mm
VehiclesASI I
Vintage: 2012
ASI II
Vintage: 2014
ASI III
Vintages: 2016
ASI IV
Vintage: 2018
ASI V
Vintage : 2020
ASI VI
Vintage :

ASI – ACE Secondary Investment

Investment Solutions

ACE’s Investment Solutions service consists of three business lines: Direct Mandates, Public Equity Mandates, and Fund Access Facility through which it collaborates closely with investors to create customized investment programs that meet specific criteria, timelines, and objectives.

Direct Mandates

Our Direct Mandates offer clients a flexible, tailored approach to design and implement their investment strategy. Such services include structuring of a holding vehicle to manage subscriptions, cash-flow monitoring, reporting, regulation and also the option of managing the clients global portfolio.

Direct mandates include opportunities to invest in direct private equity investments as well as provide access to expertise and insight into quality opportunities in the public equity market. These investments are managed through Actively Managed Certificates (AMC) or dedicated portfolios.

Fund Access Facility

ACE established the Fund Access Facility (FAF) to provide investors with access to quality flow of leading third-party private equity fund opportunities. ACE carefully evaluates, selects, and forms close partnerships with top tier managers worldwide. FAF leverages the team’s specialized knowledge and extensive network to facilitate the allocation of capital for improved risk-adjusted returns, allowing for smaller minimum commitments.


Investors Relationships Levels

ACE collaborates with investors to create customized investment programs that meet specific criteria and objectives, adapting to the needs of the investor. Through a flexible and professional processes, we raise the standard of private investment execution and quality. ACE has three levels of engagement with investors.

Core

Investors with private investment mandates across our investment platform and investment solutions

  • Multi-strategy interest with long-term portfolio approach
  • Ability to structure independent holding vehicles or PartnerCo
  • Priority access to team and portfolio transactions
  • Asset & advisory services available

Committed

Investors with allocation to a specific strategy in the ACE investment Platform

  • Specific sector or stage interest with defined deployment terms
  • Ability to subscribe to a discretionary fund (class A) or with an opt-out option
    (class B)
  • Guaranteed pro-rata allocation based on subscription
  • Asset & advisory services upon request

Qualified

Investors with deal by deal interest

  • Access to individual opportunities based on excess capacity
  • Ability to confirm qualified investor status through a QUIC agreement1
  • Receive full diligence material through opt-in shares (class C) once onboarded
  • No guarantee of access or allocation

Value Positions

ACE’s value proposition is differentiated within the private equity ecosystem, offering value to various market participants.

To Investors

+SOURCINGACE provides unique access to investment opportunities across sectors and geographies
+DIVERSIFICATIONACE allows investors to construct a diversified portfolio, reducing idiosyncratic risk.
+DILIGENCEACE selects opportunities following a rigorous and independent diligence process.
+EXECUTIONACE selects opportunities following a rigorous and independent diligence process.

To Sponsors

+RELIABILITYACE honors its commitments; to never leave sponsors “at the altar.”
+EFFICIENCYACE can perform due diligence and provide a fully underwritten commitment within a few weeks.
+VALUE ADDSACE collaborates openly with GPs and portfolio companies to connect investors and support business development.
+RELEVANCEACE is the exclusive direct investment manager for clients representing $3B of LP commitments to over 100 funds.

Investment Circle

Indicative selection of investors that have exposure to the same portfolio companies as ACE, through ACE or independently, in the same instruments or elsewhere in the capital structure.


Investment Pipeline Last 12 Months