How to Invest in Ally Investers in the Next 3 Years
Ally Invest invests in several companies that have received a $5 billion loan to finance their growth and expansion plans.
The fund, which was founded in the early 1980s by a group of investors, now has more than $2.6 trillion under management, according to the investment bank.
Ally’s current portfolio includes General Electric, General Motors, IBM, Pfizer and Sun Life Financial.
Investors are now paying a premium for Ally’s funds because of the loan, which allows the fund to borrow up to $5.1 billion from its existing shareholders.
Ally is also the first major publicly traded U.S. private equity fund to issue bonds, according the investment website Equilar.
In January, Ally announced it had agreed to a $1.4 billion loan from Fidelity to buy back stock from its shareholders.
It also pledged to pay $250 million in dividends over the next three years.
Ally has also raised $1 billion in equity and debt financing, according a recent filing.
While Ally’s bonds are typically sold in U.K. and European markets, the fund can also be sold in Canada, Australia and the U.A.E.
The Ally fund has also been investing in technology companies.
Last year, the company paid $6.7 billion to buy its stake in LinkedIn and $7.4 million to buy an investment company, according ToBeMobile.