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Trade finance platform Raistone was pitching eye-popping returns to investors in one of its receivables financing funds, before the collapse of its client First Brands pushed the lender to put itself up for sale.

The Raistone Receivables Finance Yield Fund (RRFYF) generated annualized returns of 19.8% for 3Q24 and 21% for 4Q24, according to a pitch deck shared with investors earlier this year and recently obtained by 9fin.

Those returns represent a sharp uptick from the first half of 2024: the deck lists annualized returns of 11.3% for 1Q24 and 13.8% for 2Q24. Another slide says the firm delivered a 13.3% average annual return to investors between 2021 and 2023.

The deck described the fund as giving investors access to “short duration, self liquidating, B- or better-rated assets” and touted its “commitment to conservative risk management practices”.

In a slide describing the investment opportunity, Raistone highlighted the “low credit risk” of its investments as a selling point: “Suppliers’ customers (the primary risk) rarely default without warning, resulting in extremely low loss rates,” it said.