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Maritime Logistics Equity Partners (MLEP)

Partnering with veteran maritime infrastructure investor, FDX Offshore, and experienced tanker operator, WOMAR Tanker Pools, Easterly formed Maritime Logistics Equity Partners (MLEP). MLEP seeks to offer investors a unique opportunity to invest in critical maritime shipping assets, specifically in-demand chemical tankers, and earn a high level of income from the operation of these assets.

Objective

Aims to offer investors high income and attractive risk-adjusted returns with equity-like upside with protection against inflation risk.

Why This Strategy?

Deep Expertise

Our MLEP investment partners are globally recognized leaders in the chemical tanker market.

Investor Access

MLEP provides investors a unique opportunity to invest in this difficult-to-access and opaque market.

Risk/Reward Profile

In a world where yields with a reasonable risk/reward profile are difficult to obtain, MLEP can offer a high level of income with downside risk protection1

Why Invest in Tankers?

Maritime shipping is a $12T market that is the lifeblood of global trade, transporting 90% of products the world consumes. The many appealing aspects to investing in chemical tankers include:

  • Diverse Cargos: Chemical tankers operate on specialized routes and carry a wide range of materials including organic (e.g., methanol), vegoils, inorganic and others (e.g., ethanol) as well as oil and gas
  • Core Industry Ties: The chemical products transported by these tankers support core industries in our global economy including food production, automotive, semiconductors, pharmaceuticals and others
  • Supply & Demand Imbalance: Chemical tanker demand is expected to grow in the coming years at an accelerated rate due to expanding chemical production, while vessel production has waned
  • Forced Selling: Shipping companies are often forced to sell chemical tankers, with average lifespans of 20-30 years, when they are 10-15 years old, creating a deeply discounted buying opportunities
  • High Operation Rates: Day rates for operating chemical tankers are at all time highs depending on a tanker’s Deadweight Tonnage (DWT), a measure of the vessel’s carrying capacity

 

 

1 Downside risk protection features are not a guarantee against losses.

Strategy Facts

Tranche I: May 1, 2020
Tranche II: February 22, 2022
Easterly Maritime Logistical Equity Partners
Alternatives
Private Solution

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