Important Disclosure – Not a Credit Rating
The SBC Capital investment grades presented herein are proprietary internal assessments and do not constitute credit ratings, investment ratings, or recommendations of any kind. These grades are not intended to predict performance, assess creditworthiness, or substitute for independent investor due diligence.
SBC Capital is not a nationally recognized statistical rating organization (NRSRO), and these grades should not be interpreted as ratings under U.S. or non-U.S. securities, banking, or financial regulations. All investment decisions remain solely the responsibility of the investor, and past assessments are not indicative of future results.
Investment Grading Framework
SBC Capital's proprietary framework for evaluating private market opportunities across return profile, governance, oversight, and risk mitigation.
Grading Legend
The legend below provides a high-level interpretation of SBC Capital's investment grades. Each grade reflects a composite assessment of governance rights, project oversight, return expectations, and the strength of risk mitigation mechanisms.
| Grade | Return Profile | Board Position | Project Oversight | Risk Mitigation | Notes |
|---|---|---|---|---|---|
| A | Above-market return relative to comparable private market benchmarks | Controlling board seat with decision-making authority | Direct oversight of project delivery by SBC-appointed representatives | Comprehensive mitigation plan, including contractual remedies and operational control in case of default | Optimal risk-return profile; strong alignment with investor interests |
| A- | Market-standard returns for private equity (e.g., 15% p.a.) | Participatory board seat (non-controlling, voting rights may be limited) | Active monitoring and project delivery oversight by SBC | Documented mitigation plan with enforceable investor protections | Strong governance, aligned oversight, moderate return expectations |
| B | Above-market returns, but with minor uncertainties in realization | Observer or advisory seat (non-voting) | Indirect project monitoring; limited intervention rights | Partial mitigation measures; some residual risk remains | Moderate risk-return; governance partially aligned |
| C | Market-standard returns with notable execution or market risk | No board seat; limited influence over decision-making | Minimal oversight; SBC may intervene only in extreme scenarios | Limited or conditional risk mitigation plan | Higher risk; investor protections are limited; suitable only for experienced investors |
| D / Junk | Returns are unrealistically high or low; minimal justification | No board seat; no influence or advisory rights | No project oversight; SBC cannot intervene effectively | Absent or poorly documented risk mitigation measures | High-risk, low-control opportunities; generally avoided for conservative allocations |
This grading framework represents SBC Capital's internal evaluation and is for informational purposes only. It does not constitute an offer or solicitation to invest. Investors must complete all eligibility and regulatory requirements before accessing opportunities. Learn more about regulatory information.