shelby institutional

Institutional introductionInstitutional introduction

2011

Mission Statement

© SHELBY FINANCIAL GROUPYear 2011

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• The mission of Shelby Financial Group, Inc. is to offer clients socially responsible and globally conscious investment strategies consistent with the client’s beliefs and values while correlating objective and expert advice on the complex financial options available in today’s economic environment. Our vision is a world where all money is utilized for the benefit of everyone and in ways that support our natural environment.

• This is accomplished by maintaining an open dialogue with clients so that we can effectively capture their decisions and preferences in addition to easing their worries and concerns in making wise financial choices.

Business Lines


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• Shelby Financial Group manages several investments and funds across the USA, Central America and Europe, we have developed a successful business model based on clear investment guidelines and procedures.

• These guidelines and procedures not only cover investment screening, monitoring and valuation, taking into consideration European and international standards, but also creating coherent exit strategies and detailed reporting to shareholders.

• Our capability to build synergies between both sides and respect mutual interest makes a tremendous difference for our clients and the value added we deliver.

Fund Management Investment Management

• Our investment services are designed to build long-term wealth while maintaining risk tolerance levels acceptable to the client.

• With every managed account, we incorporate investment strategies that have been pre-determined from the investment parameters outlined in the Investment Policy Statement during the interview process with the client.

Venture Capital

• Though this field is more difficult at the present time, Shelby has also done venture capital funding for technology and renewable energy projects in the US.

Business Focus

• Shelby Financial Group, Inc (hereinafter referred to as “the Company”, “we”, “us” and “our”) is a registered investment advisor engaged in the business of providing investment management and counsel through the creation of personalized investment solutions for each client. Such solutions are designed to address the needs of individuals and their families, business owners, and entrepreneurs that have come to expect professional and quality service.

Capital Appreciation Strategies – Active investment management designed to yield superior investment returns that perform well in the current economic environment.

Capital Preservation Strategies – Balanced investment management designed to produce consistent, stable investment returns that do not fluctuate wildly with daily changes in the financial markets.

Retirement Living/Tax Implication Strategies – Income producing investments designed to capitalize on investment returns that yield either a low tax base income or are tax exempt.

Socially Responsible Focus – As part of the above investment strategies, we focus on companies and investment vehicles that promote a socially conscious culture, products and systems.

• In accomplishing a client’s investment objectives we will: (i) develop tailored investment solutions for each client; (ii) calculate economic and social suitability; (iii) implement the designed investment approach; and, (iv) monitor the investment performance of such management strategies.


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Fund Management – Methodology

• Our fund management methodology is based on six (6) premises, each of which is focused on efficiency.– Funds directive for investments in relation to industry and markets.– We employ a preliminary process to identify suitable products for specific vehicles.– Through we may entertain other possibilities, Debt Financing and Sale & Lease Back are

our best structure to meeting both client and fund needs.– The financial strength and cash flow generation of potential investments is vital within

our target markets. – All our relationships are built on trust and confidentiality. All documentation and

communication are covered under our Non Disclosure Agreement.– Upon acceptance of our terms and standards, work directly with the decision makers on

both sides.Shelby has been enhanced our operations in Europe through our partners in Spain. A

detailed summary of this relationship can be provided upon request.


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[email protected] [email protected]

Investment Management – Methodology

• Our investment methodology is based on six (6) premises, each of which is devised from modern portfolio theory.1) Clients are inherently risk-averse.2) The markets are basically efficient.3) The focus of attention is shifted away from individual securities analysis to consideration

of portfolios as a whole, predicated on explicit risk-reward parameters.4) For any level of risk that the client is willing to accept, there is a rate of return that

should be achieved.5) Portfolio diversification is not so much a function of how many issues are involved, but

more a function of the relationships and proportions of each asset to its correlating asset.

6) Individuals contribute their time and energy to causes and issues they believe in.• We think it is natural to ensure a client’s investments are doing the same.• Managed accounts are disciplined and focused to resist the temptation to react to

short-term market fluctuations. We use a fundamental approach that incorporates economic conditions, earnings, industry outlook, politics (as it relates to investments), social issues, historical data, price earnings ratios, dividends, and general level of interest rates, company management, debt ratios and tax benefits to make our allocation decisions.


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Portfolio Composition

• Our Asset Management strategies use as a foundation equities and fixed income investments from at least five (5) different sectors of the market in order to minimize sector and industry risk. Within those sectors we will allocate assets into asset classes – spreading money among a variety of investments as opposed to investing in just one – creating a more prudent approach to managing risk.

• Assets will be allocated based on a client’s risk tolerance and will generally fall into one of four categories: Aggressive/Growth, Balanced, Conservation/Preservation of Capital, and Fixed/Income. However, the investment mix for each client is uniquely designed to achieve the desired investment return for the client. The selected equities and fixed income vehicles in a client’s portfolio are typically diversified into many stocks and bonds that are common to all client accounts. This is the only common denominator; from that point the composition mix and quantity of stocks and bonds in any given client account is completely subjective.


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Fees Policy


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Fund Management

• The standardized fee structure below presents the annual percentage charged for portfolio management provided on an asset-based fee arrangement. The fee for a quarter is one fourth of the annual applicable percentages multiplied by the aggregate market value of the assets in the account on the first business day of each calendar quarter. The fee schedule is as follows:

• The Company requires a minimum initial investment of $100,000.00 to open any managed account. However, this minimum may be waived under certain circumstances.

• The Company retains discretion to modify the above fee structure depending on the size, complexity, and nature of the portfolio managed. The fees may be negotiable on a client-to-client basis.

Investment Management

• The standardized fee structure below presents the percentage by project charged to the vendor once the operation has been funded.

• Leverage level and specifications on the project could modify these conditions, as well the location and therefore country risk:

• The Company requires a minimum initial investment scope of $5,000,000 to open any funding engagement. However, this minimum may be waived under certain circumstances.

• The Company retains discretion to modify the above fee structure depending on the size, complexity, and nature of the portfolio managed. The fees may be negotiable on a client-to-client basis.

Business Qualifications

• Shelby Financial Group is a Registered Investment Advisor under supervision of FINRA and the State of Florida.

• Mrs. Cherie G. DiNoia is responsible for the leadership and direction of the Company, as well as, ensuring the investment activities are being performed to the expectations of the clients.

• Mrs. DiNoia and Mr. Christian W. Spycher have combined over 38 years of professional experience in the areas of personal finance, banking, investments, insurance, and retirement planning. Their qualifications and experience are listed below:


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Background – What we are looking for

• Specializes in Socially Responsible and Sustainable investments.• Has managed multiple real estate developments in the United States in the

range of $3.0 Million - $25.0 Million• Has done venture capital funding for technology and renewable energy projects

in the USA.• Has funded and is presently managing a $64 million development project in

Honduras.• Is presently working with Honduran government and business officials to create

500 Mw of renewable energy in Honduras and neighboring countries before the year 2020.

• We have access to multiple funds who are interested in investing in renewable energy as well as Sale and Leaseback ventures.

• We are working directly with an EDN originator, who is the direct connection between Shelby Financial Group and the funds granted by the US Treasury to fund renewable energy projects up to 80% of Capital Expenditure.


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Investment Vehicles Ready for Spanish Market


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Deb Financing:• Commercial projects, producing income that align with lender criteria. • Debt financing will be considered on developmental projects on a case by case basis.• Size of project:

Minimum $3 million Maximum $1 Billion

• Loan amount details: Amount 80-100% loan to value Terms of no less than 7 years

• Typology of Investment looking for: Renewable Energy Plants Multi Unit Apartments

Shopping Centers Professional Office Suites

Industrial Buildings Owner Occupied Properties

Office Buildings Condo Conversion and Hotels


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SALE & LEASE BACK:• Ideal prospects for a Sale and Leaseback operation include companies with large illiquid assets

in real estate, where there is a tenant that can meet the cash flow requirements to pay the negotiated lease.

• Size of project: Minimum $25 million Maximum $400 million

• Profile of Investment: Amount <= 85% Updated valuation

Entry yield of 8.75% Contract time period 15 – 25 years

RCSD minimum 1.25 Payment guaranties: Two years rent bank guaranteed

• Type of investments we are looking for: The solvency of the tenant will be a primary factor

Shopping Centers Professional Office Suites

Industrial Buildings Owner Occupied Properties

Renewable energy plants with PPA (Power Purchase Agreements) Condo Conversion and Hotels


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Process to follow on Spanish Market

PROCEDURES:• After the initial contact and when the project has been accepted by Shelby, The

following procedure will be followed:1) An NDA will be signed covering confidentiality and non-circumvent and the

overall description of the project and desired outcomes.2) Once preliminary information has been exchanged we will build an Executive

Summary to present the project to our funds and investors.3) If the project is accepted, within 2 weeks a non binding offer will be presented

and upon acceptance by the client, a compulsory period of exclusivity for no less than 30 days will be given.

4) Shelby Financial Group and/or the Fund will nominate an external advisor to conduct the Due Diligence (Technical & Legal), and depending on their findings, will result in:

The investment going to final closing The fund withdraws because of a failure in the due diligence


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Process to follow on Spanish Market

INFORMATION TO PRESENT FOR ACCEPTANCE:• PRELIMINARY DATA:

Location Map (Surface Plot & Buildings) and photos of assets Most recent available valuation of assets Audited Balance Sheet and P&L for the last three years Overall presentation of the Seller and Tenant Companies Asking price

• ONCE THE NON BINDING OFFER HAS BEEN PRESENTED: Tenant Company strategy – 5-10 year Business plan Asset’s Central Registry information Permits and Licenses available pointing to the legality of the industrial activity Lease contract draft Obligation of the Seller & Tenant companies that could affect the operation


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How to contact with Shelby Financial Group

• Clients may contact Shelby at http://www.shelbyfinancialgroup.com/ or via one of our counterparts in Spain:

Mobile: +34 669 468 [email protected]

Mobile +34 660 989 [email protected]


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