LOFFCO provides qualified allocators with exposure to enforceable legal claims through disciplined underwriting, independent governance, and portfolio-level risk management.
Legal outcomes are driven by case merits, not market sentiment. Historical analysis shows near-zero correlation to equities, credit, and macro factors.
Downside Protection
Multi-stage capital deployment, defendant solvency verification, and portfolio diversification mitigate binary risk inherent in single-case exposure.
Institutional Infrastructure
Independent advisory board, quarterly case reviews, third-party valuation, and audited financials ensure alignment with institutional governance standards.
The Institutional Case for Legal Assets
Regulatory expansion, enforcement intensity, and digital evidence trails have transformed legal claims into quantifiable, enforceable financial instruments.
$6.3T
U.S. Federal Spending
Substantial qui tam exposure across healthcare, defense, and infrastructure
€4B+
GDPR/CCPA Enforcement
Demonstrates growing global regulatory risk and recovery opportunities
919
ICC Arbitration Filings
Reflects growing international commercial dispute volume and resolution efficiency
The convergence of whistleblower incentives, data privacy enforcement, and commercial arbitration has created a deep, diversified opportunity set. Unlike traditional litigation finance, institutional legal alpha strategies employ portfolio construction, forensic underwriting, and milestone-based capital deployment to manage duration and binary risk.
For Institutional Allocators
Source: Industry composite data, 2015-2024
Key Benefits
Near-zero correlation to public markets across economic cycles
No requirement to build internal legal underwriting infrastructure
Flexible allocation across single-strategy funds or diversified sleeves
Alignment with ESG mandates: rule of law, fraud deterrence, data accountability
Suitable for allocators with 3-5 year time horizons, comfort with event-driven strategies, and capacity for illiquid alternatives. Minimum commitment: $5M.
Each investment undergoes multi-stage diligence designed to assess legal merit, quantify damages, verify collectability, and construct diversified portfolios.
01
Legal Merit Assessment
Independent counsel review, precedent analysis, evidentiary strength, and procedural pathway evaluation before capital commitment.
02
Damages Quantification
Forensic accounting, conservative base-case modeling, probability-weighted scenarios, and sensitivity analysis to establish realistic return expectations.
03
Collectability Verification
Defendant financial analysis, insurance coverage confirmation, asset tracing, and enforcement mechanism validation to mitigate execution risk.
04
Portfolio Construction
Diversification across claim types, jurisdictions, legal theories, and case stages to reduce concentration risk and optimize risk-adjusted returns.
Capital Partners
LOFFCO partners with law firms and institutional investors on high-merit cases requiring non-recourse capital.
Non-Recourse Structure
Capital repaid exclusively from case proceeds. No personal guarantees, no balance sheet recourse, no clawback provisions.
Portfolio Pricing
Competitive terms achieved through diversified underwriting across multiple matters, reducing cost of capital for repeat partners.
Institutional Relationships
Multi-year capital commitments for firms with recurring enforcement practices or portfolio litigation strategies.
LOFFCO Risk Management LLC is an institutional legal asset manager specializing in enforceable claims across qui tam, whistleblower, arbitration, IP, and commercial litigation.
Our investment team combines litigation expertise, forensic accounting, and alternative asset management experience. We employ institutional-grade underwriting, independent governance, and transparent reporting to bridge legal expertise and capital markets.
Governance Framework
Independent Advisory Board
Strategic oversight and objective guidance on fund operations and investment decisions.
Quarterly Portfolio Reviews
Comprehensive case progression analysis, risk assessment, and return expectation updates.
Third-Party Valuation
Independent valuation agents provide objective portfolio marks and individual case assessments.
Annual Financial Audits
External audit of financial statements, controls, and compliance procedures.
LOFFCO works exclusively with qualified institutional investors and accredited allocators. To discuss allocation strategies or request fund materials, please contact our investor relations team.