Tetragon Financial Group Reports Solid Performance Amid Increased Leverage

Tetragon Financial Group (TFG) demonstrated a modest yet steady growth in the first half of 2024. The company reported a 1.3% return on equity, with its net asset value per share increasing by 1.9% in US dollar total return terms. By the end of August, this increase reached 3.8%. A significant portion of Tetragon's revenue stemmed from collateralised loan obligation structures and asset management fees. This income was strategically reinvested into the portfolio, primarily focusing on public stocks. Shareholder distributions continued, with a notable dividend yield of 4.3%—surpassing the industry average. However, this was accompanied by an increase in leverage, which hit a record level of 13.1% of NAV by the end-August 2024.