Litigation funding offers a compelling alternative investment opportunity with the potential for high returns and low correlation to traditional asset classes. However, selecting the right claims management company is crucial for achieving optimal results. Here are some key attributes to consider when evaluating potential partners:

1. Quality Claim Acquisition Engine: A top priority is the company's ability to consistently source high-quality claims. Look for a proven track record of securing meritorious claims from reputable sources. A strong acquisition engine demonstrates their understanding of identifying cases with a high probability of success, ultimately maximizing your return on investment (ROI).
2. Success Rate and Maximum Payouts: A company's historical success rate in winning cases and recovering maximum compensation for their clients is a critical performance indicator (KPI). Analyze their track record to assess their expertise in navigating legal complexities and maximizing payouts. A consistent record of positive outcomes suggests a well-honed strategy for achieving successful settlements and generating strong returns for investors.
3. Strong Insurance Company Relationships: The quality of the claims management company's partnerships with insurance providers is vital. Look for firms with long-standing relationships with insurers known for fairness and timely payouts. Strong partnerships can significantly improve the speed and likelihood of successful claim resolution, leading to faster returns on your investment.
4. Claims Portfolio with Nearing Completion Cases: While a comprehensive claims management approach is ideal, consider the company's claims portfolio in relation to the stage of the claims. A healthy mix of claims, with a focus on cases nearing completion, can be advantageous. This indicates a steady flow of successful settlements translating into quicker liquidity for the company. This translates to faster payouts for you, the investor, maximizing your ROI and potentially allowing you to reinvest your capital sooner.
5. Transparency and Alignment of Interests: Open communication and a clear alignment of interests are essential. Look for a company that provides transparent reporting on fees, keeps you informed of developments in your funded cases, and readily addresses your questions. A culture of transparency fosters trust and ensures your investment decisions are based on accurate information.