For over 20 years the professionals at Specialty Asset Advisors have assisted advance funding market participants in virtually every aspect of the business, including corporate, finance and legal matters. Andrew S. Hillman, Founder and CEO brings together his 35 years of legal and finance experience using in a multi-disciplinary approach to the representation of its clients.
Specialty Asset Advisors understands past and present trends in the secondary market, and we anticipate changes in the marketplace before they happen. Our relationships are deep and long-standing and allow us represent our clients with an overarching, high level view of the marketplace that provides our clients with unique perspectives on fast moving issues.
As a smaller firm, we can provide the personalized attention necessary to fully understand and satisfy our clients' needs. Our nimbleness enables us to serve our clients with a high level of expertise and personal attention. We can serve as a "stand-alone" solution or can be integrated into your existing group of advisors; whatever approach the situation demands.
Specialty Asset Advisors is a full service consulting firm specializing in the advance funding industry with emphasis on the structured settlement payment financing and legal funding spaces. Established in 2000, we are the only consulting firm in the U.S. that exclusively offers services to the secondary market for structured settlements.
Andrew S. Hillman, Founder and General Counsel of Specialty Asset Advisors, is a pioneer in the secondary market for structured settlements and has been involved in the business exclusively for over twenty (20) years.
Mr. Hillman was instrumental in bringing to the capital markets the first financing (securitization) of structured settlement payment streams and advising companies entering into the advance funding markets de novo. He was a primary negotiator of the compromise between the National Structured Settlement Trade Association and the National Association of Settlement Purchasers that resulted in federal and state legislation to foster the orderly and consumer protective transfer of structured settlement payments. Previously, he was a partner in a large Philadelphia based AV rated law firm and an in-house counsel for various banking, financial institutions, and specialty finance companies.
Mr. Hillman has been a member in good standing of the Pennsylvania Bar for over 35 years and is a Florida Authorized House Counsel. He is also a member of the American Bankruptcy Institute and of the National Association of Bankruptcy Trustees. Mr. Hillman holds a BA from The American University and a Juris Doctor (cum laude) from Temple University School of Law. He is a frequent lecturer and has authored and published papers on various financial services related matters.
As general counsel for specialty finance companies, in-house counsel for financial institutions, and a partner in a large law firm
As head of operations in specialty finance company
Outside counsel management & legal department budgets
FINANCINGS / SPECIAL PROJECTS
SOURCING / BUSINESS DEVELOPMENT
Specialty Asset Advisors works with various originators and purchasers of structured settlement payment streams to obtain court ordered transfers. In this regard, Mr. Hillman has successfully submitted hundreds of rate affidavits in numerous state transfer proceedings that explain why a particular rate is fair and reasonable and why and how such rates are determined, taking into account the time value of money and, in the case of life-contingent payments, why the risk justifies the discount rate (and resulting purchase price).
In addition to other services, Specialty Asset Advisors performs structured settlement purchase file reviews that ensures compliance with strict, protective underwriting guidelines that can help achieve the best execution for funders and investors.
We also act as "independent financial advisors" to sellers of payment rights in transactions where they request such advice or where such advice is required by law.
The term âadvance fundingâ refers to any advance made on a future payment stream. The term is used very broadly, encompassing future contractual payments like annuities, royalties, lawsuit claims, and legal settlements.
Some examples of financial assets that are financed in the advance funding space are: personal injury settlements (structured settlements), lawsuit settlement advances, payday loans, life settlements, and inheritances. Usually advance funding will involve an assignment or sale of a series of payments due in the future from these assets. In most if not all cases, the advance funding amount will be discounted for some imputed amount of interest to take into account the âtime value of moneyâ (i.e., that future payments are worth less over time). Typically these financings are structured as non-recourse sales and purchases of payment streams rather than as âloansâ. In this way advance funding financiers can avoid any impacts lending and other laws (e.g., usury, consumer loan disclosures, credit reporting laws, etc.) might have on the transactions. The paradigm for these financings is very similar, and each is specifically patterned around the asset being financed. Two examples of advance funding mechanisms that are most common in this area are:
Structured Settlement Advance Funding
Plaintiffs in personal injury litigation most often settle the litigation and purchase a structured settlement annuity from a highly rated insurance company that makes payments to the plaintiff that cannot be accelerated to satisfy the liability to the plaintiff in the settlement. People who receive structured settlement payments may decide at some point that they need money immediately rather than wait until future payments are made. The reasons for this vary but can include unforeseen medical expenses for themselves or a loved one, the need for improved housing, for education costs or to start a new business. To meet these ends, that plaintiff can sell all or a part of its future payments for a present lump sum. In order to do this approval from a judge must be obtained.
Legal Advance Funding
Also known as litigation funding, professional funding, or settlement funding, legal advance funding is the mechanism through which litigants (including law firms) can finance their litigation or other legal costs through a third party funding company. These third party funding companies provide cash advances to litigants in exchange for fees calculated on the amount of the advance. However, if a litigant does not obtain a settlement of the case he does not have to repay the advance. Accordingly, to qualify for funding with a legal funding company, a litigantâs case must have sufficient merits as judged by the funding company.