ReFlow works with mutual funds to implement proactive liquidity solutions to reduce friction and performance issues due to disruptive shareholder flow.
Our History: In 1997 Gordon Getty identified the ReFlow solution to a persistent problem: How to efficiently provide for shareholder redemption liquidity without undue burden to long-term shareholders.
After a number of years exploring the concept with industry insiders and academics, ReFlow applied for and received an SEC no-action letter from the Division of Investment Management in 2002, enabling ReFlow to provide short-term liquidity to funds registered under the Investment Act of 1940 (“’40 Act”) through its Redemption Service. On February 7, 2012, ReFlow Services, LLC received Patent Number US 8,112,331 B2 for its System and Method for Providing Liquidity.
ReFlow provides ’40 Act funds with tools to improve performance by managing the frictional impacts of shareholder flow. Our solutions offer continuous, everyday access to liquidity that funds can draw upon to meet redemptions and manage cash positions. Since inception, ReFlow has provided over $9 billion of capital to participating mutual funds. ReFlow currently has over 20 approved mutual fund complexes that manage over $500 billion in assets.
Our Services: ReFlow has provided U.S. mutual funds with greater than $4 billion in notional exposure through NAVswap, more than $9 billion in just-in-time liquidity through Redemption Service, and nearly $7 billion transferred through Redemption In-Kind.
With ReFlow, you can carry out investment strategies unhindered by daily liquidity requirements, minimize flow-induced trading and associated transaction and opportunity costs and reduce cash drag with basis-risk free cash equitization, all while minimizing capital gains distributions to shareholders.
Affordable liquidity when you need it
Redemption Service and its associated “in-kind” redemption feature reduce flow induced trading and the realization of capital gains.