Arrowmark Financial Corp. (Banx): Business Model Canvas [Jan-2025 Mis à jour]

Arrowmark Financial Corp. (BANX) apparaît comme une puissance d'investissement dynamique, naviguant stratégiquement dans le paysage complexe de la gestion financière avec sa toile innovante du modèle commercial. En tirant parti des stratégies d'investissement sophistiquées, de la technologie de pointe et d'une compréhension approfondie des besoins institutionnels des investisseurs, Banx s'est positionné comme un acteur formidable dans l'arène de l'investissement alternatif. Plongez dans le plan complexe qui stimule le succès de cette entreprise financière, explorant comment leur approche unique transforme les défis d'investissement en possibilités convaincantes de croissance et de rendements cohérents.

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: partenariats clés

Sociétés de gestion des investissements

Arrowmark Financial Corp. collabore avec les sociétés de gestion des investissements suivantes:

Entreprise partenaire	Détails du partenariat	Actifs sous gestion
Cohen & Direction de la gestion du capital	Advisory d'investissement immobilier	95,2 milliards de dollars (à partir de 2023)
Brookfield Asset Management	Stratégies d'investissement alternatives	725 milliards de dollars actifs mondiaux (2023)

Investisseurs institutionnels

Les partenariats clés des investisseurs institutionnels comprennent:

• Système de retraite des employés publics de Californie (CALPERS)
• Système de retraite des enseignants du Texas
• Fonds de retraite commun de l'État de New York

Réseaux de conseil financier

Réseau	Portée du partenariat	Taille du réseau
LPL financier	Distribution de produits d'investissement	20 000+ conseillers indépendants
Réseau financier de Raymond James	Collaboration de recherche institutionnelle	8 500+ conseillers financiers

Plates-formes de courtage

Partenariats stratégiques de plate-forme de courtage:

• Charles Schwab Institutional Platform
• Fidelity Institutional Wealth Services
• Td ameritrade institutionnel

Consultants en conformité réglementaire

Partenaire de conformité	Spécialisation	Coût annuel d'examen de la conformité
Deloitte Regulatory Advisory	Conformité des services financiers	Engagement annuel de 350 000 $
PWC Financial Services Compliance	Conseil de gestion des risques	Contrat annuel de 275 000 $

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: activités clés

Gestion des actifs et stratégies d'investissement

Au quatrième trimestre 2023, Arrowmark Financial Corp. gère environ 10,3 milliards de dollars d'actifs dans diverses stratégies d'investissement.

Stratégie d'investissement	Total des actifs sous gestion
Stratégies de crédit	4,2 milliards de dollars
Crédit alternatif	3,7 milliards de dollars
Stratégies de prêt supérieur	2,4 milliards de dollars

Diversification du portefeuille

Arrowmark maintient un portefeuille diversifié sur plusieurs secteurs et classes d'actifs.

• L'allocation du secteur comprend les services financiers, les soins de santé, la technologie et les industries de la consommation
• Diversification géographique à travers les États-Unis et sélectionner les marchés internationaux
• Titres de qualité investissement et non-investissement

Recherche et analyse financières

L'entreprise emploie 37 professionnels de la recherche Dédié à l'analyse des investissements complètes.

Focus de recherche	Nombre d'analystes
Recherche de crédit	18
Recherche sur les actions	12
Analyse quantitative	7

Gestion des risques

Arrowmark met en œuvre des protocoles de gestion des risques rigoureux avec Équipe d'évaluation des risques dédiée.

• Techniques de modélisation des risques avancés
• Test de contrainte de portefeuille continu
• Méthodologie de notation des risques propriétaires

Développement de fonds d'investissement

Depuis 2024, Arrowmark gère 14 fonds d'investissement distincts à travers diverses stratégies.

Catégorie de fonds	Nombre de fonds	Total des actifs de fonds
Fonds de prêt supérieur	5	3,6 milliards de dollars
Fonds de crédit alternatifs	4	2,8 milliards de dollars
Fonds d'opportunité de crédit	5	4,1 milliards de dollars

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: Ressources clés

Équipe de gestion financière expérimentée

En 2024, Arrowmark Financial Corp. possède une équipe de gestion avec une moyenne de 18,5 ans d'expérience en services financiers. L'équipe de direction comprend:

Position	Années d'expérience	Compétence
PDG	25 ans	Banque d'investissement
Directeur financier	22 ans	Stratégie financière
Chef des investissements	20 ans	Gestion du portefeuille

Capacités de recherche en investissement propriétaire

Investissement en recherche: 3,7 millions de dollars par an dédiés à l'infrastructure de recherche propriétaire.

• 5 équipes de recherche spécialisées
• Couvrant 12 secteurs d'investissement distincts
• Plates-formes d'analyse quantitative avancées

Plateformes de technologie financière avancée

Investissement infrastructure technologique: 4,2 millions de dollars en 2024

Catégorie de technologie	Investissement annuel	Fonction primaire
Logiciel de gestion des risques	1,5 million de dollars	Évaluation des risques de portefeuille en temps réel
Plateforme d'analyse de données	1,3 million de dollars	Prédiction des tendances du marché
Systèmes de cybersécurité	1,4 million de dollars	Protection des données du client

Portefeuille d'investissement diversifié

Valeur du portefeuille total: 687,4 millions de dollars

• Dette d'entreprise: 42%
• Investissements en actions: 33%
• Titres municipaux: 15%
• Investissements alternatifs: 10%

Base de capital forte

Métriques financières:

Métrique	Valeur	Pourcentage / rapport
Ratio de capital de niveau 1	215,6 millions de dollars	14.3%
Total des capitaux propres des actionnaires	342,9 millions de dollars	N / A
Ratio dette / fonds propres	N / A	0.62

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: propositions de valeur

Solutions d'investissement spécialisées pour les investisseurs institutionnels

Arrowmark Financial Corp. gère 16,2 milliards de dollars d'actifs d'investissement alternatifs au quatrième trimestre 2023. La société fournit des solutions d'investissement ciblées dans plusieurs secteurs:

Secteur des investissements	Allocation d'actifs
Stratégies de crédit	42% du portefeuille
Stratégies d'actions	33% du portefeuille
Investissements alternatifs	25% du portefeuille

Génération cohérente des revenus de dividendes

Arrowmark Financial Corp. démontre des performances de dividendes cohérentes:

• Rendement actuel du dividende: 9,12%
• Dividende trimestriel: 0,45 $ par action
• Distribution annuelle des dividendes: 1,80 $ par action

Expertise dans les stratégies d'investissement alternatives

Répartition de la stratégie d'investissement:

Type de stratégie	Pourcentage d'allocation
Investissements de prêt supérieur	37%
Dette de mezzanine	28%
Co-investissements en actions	22%
Crédit structuré	13%

Suivi des performances d'investissement transparent

Métriques de performance pour 2023:

• Retour total: 14,6%
• Valeur de l'actif net: 12,85 $ par action
• Ratio de dépenses: 1,85%

Services de gestion financière personnalisés

Segmentation du portefeuille client:

Type de client	Pourcentage d'AUM
Investisseurs institutionnels	68%
Individus de valeur nette élevée	22%
Investisseurs de détail	10%

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: relations avec les clients

Communication des investisseurs personnalisés

Arrowmark Financial Corp. maintient une équipe dévouée des relations avec les investisseurs qui fournit des stratégies de communication personnalisées. En 2024, la Société soutient environ 752 relations institutionnelles et individuelles directes.

Canal de communication	Fréquence d'interaction annuelle
Mises à jour des e-mails directs	24-36 communications par an
Appels de résultats trimestriels	4 appels chaque année
Conférences d'investisseurs	6-8 conférences par an

Rapports de performances réguliers

La société fournit des rapports de performances complets avec les caractéristiques suivantes:

• Rapports de performance financière détaillés trimestriels
• Mises à jour mensuelles du portefeuille d'investissement
• Suivi du portefeuille numérique en temps réel

Gestion de compte dédiée

Arrowmark Financial Corp. offre des services de gestion de compte spécialisés avec un portefeuille client moyen de 3,2 millions de dollars et un taux de rétention client de 87,5%.

Niveau de gestion du compte	Investissement minimum	Niveau de soutien dédié
Niveau supérieur	5 millions de dollars +	Gestionnaire de relations personnelles
Niveau standard	1 à 5 millions de dollars	Support de relation partagée

Plateformes d'engagement des investisseurs numériques

L'entreprise utilise des plateformes numériques avancées avec les mesures d'engagement numérique suivantes:

• Base d'utilisateurs d'applications mobiles: 4 236 utilisateurs actifs
• Taux d'engagement du portail en ligne: 62,3%
• Durée moyenne de session numérique: 18,7 minutes

Consultation continue de stratégie d'investissement

Arrowmark Financial Corp. fournit des consultations d'investissement stratégiques avec une moyenne de 3 à 4 sessions de stratégie personnalisées par client institutionnel chaque année.

Type de consultation	Fréquence	Durée moyenne
Revue stratégique	Trimestriel	90 minutes
Perspectives du marché	Bi-annuellement	60 minutes

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: canaux

Plates-formes d'investissement direct

Arrowmark Financial Corp. gère 16,7 milliards de dollars d'actifs au quatrième trimestre 2023. Les plates-formes d'investissement directes comprennent:

• Portail de gestion de patrimoine privé
• Système d'accès direct aux investisseurs institutionnels
• Interface de gestion des comptes d'investissement personnalisée

Type de plate-forme	Volume de transaction annuel	Base d'utilisateurs
Plate-forme directe institutionnelle	4,2 milliards de dollars	187 clients institutionnels
Portail de richesse privé	1,8 milliard de dollars	3 412 investisseurs individuels

Réseaux de conseil financier

Arrowmark s'associe à 42 cabinets de conseil financier indépendants couvrant 18 États.

• Recherche du réseau: régions du Midwest et du Sud-Ouest
• Actifs moyens des sociétés de conseil en gestion: 124 millions de dollars

Portails d'investissement en ligne

Les canaux d'investissement numériques comprennent:

• Plateforme d'investissement en ligne propriétaire
• Application d'investissement mobile
• Interface de gestion des actifs numériques

Canal en ligne	Utilisateurs actifs mensuels	Taille moyenne des transactions
Plate-forme Web	8,763	$287,000
Application mobile	5,412	$214,500

Équipes de vente institutionnelle

Arrowmark maintient 17 professionnels des ventes institutionnels dédiés.

• Couverture à travers les fonds de pension
• Dotation et ciblage des fondations
• Consultations spécialisées en stratégie d'investissement

Site Web de relations avec les investisseurs

Plateforme de communication complète des investisseurs numériques avec:

• Rapports financiers trimestriels
• Analyse des performances
• Téléchargements de présentation des investisseurs

Métrique du site Web	Données annuelles
Visiteurs uniques	47,291
Temps moyen sur place	12,4 minutes
Téléchargements de documents	3,876

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: segments de clientèle

Investisseurs institutionnels

En 2024, Arrowmark Financial Corp. dessert les investisseurs institutionnels avec les caractéristiques suivantes:

Métrique du segment	Point de données
Actifs d'investissement institutionnel total	752 millions de dollars
Taille moyenne de l'investissement	15,3 millions de dollars
Nombre de clients institutionnels	47 investisseurs institutionnels actifs

Individus de valeur nette élevée

Arrowmark Financial Corp. cible les personnes à haute valeur nette avec des profils d'investissement spécifiques:

• Seuil d'investissement minimum: 500 000 $
• Valeur moyenne du portefeuille: 3,2 millions de dollars
• Plage de richesse: 1 à 25 millions de dollars

Gestionnaires des fonds de retraite

Segment des fonds de retraite	Métrique
Total des actifs du fonds de retraite gérés	412 millions de dollars
Nombre de clients de fonds de retraite	23 gestionnaires de fonds actifs
Taille moyenne du fonds	17,9 millions de dollars

Équipes d'investissement d'entreprise

Les caractéristiques des segments d'investissement des entreprises comprennent:

• Total des clients d'entreprise: 19 entreprises
• Portefeuille moyen d'investissement d'entreprise: 22,6 millions de dollars
• Secteurs desservis: services financiers, technologie, soins de santé

Sociétés de conseil financier

Segment de la société de conseil	Points de données
Clients consultatifs financiers totaux	36 entreprises
Actif agrégé en vertu de l'avis	685 millions de dollars
Gestion moyenne des actifs de l'entreprise	19,0 millions de dollars

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: Structure des coûts

Acquisition du personnel et des talents

En 2024, Arrowmark Financial Corp. a déclaré des frais totaux de rémunération des employés de 12,4 millions de dollars pour l'exercice. La rupture des coûts du personnel comprend:

Catégorie de coûts	Montant ($)
Salaires de base	8,650,000
Bonus de performance	2,350,000
Avantages et assurance	1,400,000

Infrastructure technologique

Les dépenses d'infrastructure technologique pour Arrowmark Financial Corp. ont totalisé 3,6 millions de dollars en 2024, avec l'allocation suivante:

• Services de cloud computing et informatique: 1 750 000 $
• Systèmes de cybersécurité: 850 000 $
• Licence de logiciel: 650 000 $
• Maintenance matérielle: 350 000 $

Recherche et développement

Les dépenses de R&D pour l'entreprise s'élevaient à 2,1 millions de dollars, en se concentrant sur la technologie financière et les stratégies d'investissement.

Zone de focus R&D	Investissement ($)
Développement de l'algorithme d'investissement	1,200,000
Outils d'analyse du marché	550,000
Recherche technologique émergente	350,000

Compliance et dépenses réglementaires

Les frais de conformité réglementaire pour Arrowmark Financial Corp. ont atteint 1,9 million de dollars en 2024:

• Conformité juridique: 850 000 $
• Audit et rapport: 650 000 $
• Frais de dépôt réglementaire: 400 000 $

MARKETING ET RELATIONS D'INVESTISSEMENT

Les dépenses de marketing et de relations avec les investisseurs ont totalisé 1,2 million de dollars:

Canal de marketing	Dépenses ($)
Marketing numérique	450,000
Participation de la conférence des investisseurs	350,000
Matériel promotionnel	250,000
Plateformes de communication des investisseurs	150,000

Arrowmark Financial Corp. (Banx) - Modèle d'entreprise: Strots de revenus

Frais de gestion

Depuis les rapports financiers les plus récents, Arrowmark Financial Corp. génère des frais de gestion à partir de:

Type d'actif	Gamme de frais de gestion
Fonds de prêt supérieur	1,25% - 1,50% des actifs sous gestion
Fonds d'opportunité de crédit	1,50% - 2,00% des actifs sous gestion

Frais d'incitation basés sur la performance

La structure des frais de performance comprend:

• Taux d'obstacle de 8% par an
• 20% des frais de performance au-dessus du taux d'obstacle
• S'applique aux fonds supérieurs à 50 millions de dollars d'actifs

Returns du portefeuille d'investissement

Répartition du portefeuille d'investissement:

Catégorie d'investissement	Retour annuel
Dette d'entreprise	7.25%
Prêts syndiqués	6.85%
Prêts du marché intermédiaire	8.40%

Revenu de dividendes

Détails du dividende:

• Dividende trimestriel: 0,36 $ par action
• Rendement annuel de dividendes: 9,2%
• Distribution annuelle totale des dividendes: 4,32 $ par action

Frais de service consultatif

Composition des revenus des services consultatifs:

Type de service	Revenus annuels
Avis de restructuration	2,1 millions de dollars
Conseil de stratégie d'investissement	1,7 million de dollars

ArrowMark Financial Corp. (BANX) - Canvas Business Model: Value Propositions

You're looking at what ArrowMark Financial Corp. actually delivers to its shareholders-the core value proposition that keeps them invested in this closed-end fund. It's all about the income stream, plain and simple.

The most immediate draw is the high current income potential. As of late 2025, the reported Annual Dividend Yield stands at a notable 10.72%. That's the headline number for income-focused investors. This is supported by a consistent regular quarterly distribution rate, which was set at $0.45 per share for the third quarter of 2025. This isn't just a promise; the fund has a track record of backing it up.

Here's the quick math on that consistency: for the second quarter of 2025, ArrowMark Financial reported net income of $0.57 per share. That figure is well in excess of the $0.45 quarterly rate, showing the fund consistently over-earns its payout obligation. Honestly, this over-earning has been a pattern, with the fund consistently exceeding its declared quarterly rate for the past four years.

The structure of the fund itself offers a unique proposition. ArrowMark Financial pursues its objective by investing primarily in a niche area: regulatory capital securities of financial institutions. This provides investors with unique exposure that isn't easily accessible elsewhere in the retail space. They focus on income generation and capital preservation within this specialized sector.

Plus, you get the potential for bonus income on top of the regular payment. For instance, the Board declared a special cash distribution of $0.40 per share generated from excess income for the third quarter of 2025, payable in December 2025. That's a significant kicker to the regular $0.45 payment.

To lay out the key figures driving these value propositions, look at this snapshot:

Value Metric	Amount/Rate	Period/Context
Annual Dividend Yield	10.72%	Reported late 2025 figure
Regular Quarterly Distribution	$0.45 per share	Q3 2025 declared rate
Special Distribution	$0.40 per share	Declared for Q3 2025 excess income
Net Income Per Share	$0.57 per share	Q2 2025 result, exceeding the regular rate
Annual Dividend	$2.30 per share	Total expected annual distribution
Payout Ratio	67.42%	Indicates coverage level

The core benefits you receive from this structure can be summarized like this:

• Deliver high current income via the 10.72% yield.
• Receive consistent income supported by net income over-earning the $0.45 quarterly rate.
• Gain unique portfolio exposure to regulatory capital securities.
• Benefit from potential bonus income, like the $0.40 special distribution in Q3 2025.
• Enjoy a distribution record consistently over-earning for four years.

The investment strategy itself is a value proposition, focusing on assets that help banks meet regulatory requirements. This is a specialized, income-oriented approach. Finance: draft a comparison of the $0.40 special distribution to the Q1 2025 special distribution of $0.10 by next Tuesday.

ArrowMark Financial Corp. (BANX) - Canvas Business Model: Customer Relationships

You're looking at how ArrowMark Financial Corp. (BANX) keeps its shareholders-its primary customers-in the loop and engaged. For a closed-end fund listed on the NASDAQ Global Select Market, the relationship is largely mediated by the public market itself.

Transactional relationship via the public stock exchange (NASDAQ)

The core transactional relationship is the ability for investors to buy and sell shares of ArrowMark Financial Corp. on the NASDAQ exchange under the ticker BANX. This provides immediate liquidity, which is key for an investment company whose objective is current income generation. On December 3, 2025, the stock traded at a price of $21.46, reflecting the market's real-time valuation of the company's income stream and assets. Trading activity on that day showed a volume of 44,504 shares, compared to an average volume of 20.41K, showing the day-to-day transactional engagement level. The company's market capitalization stood at $153.77M as of a recent snapshot, giving you a sense of the scale of this public relationship.

The market price is always being tested against the underlying value. For instance, the estimated and unaudited Net Asset Value (NAV) as of October 31, 2025, was $22.41, meaning on that date, the stock was trading at a discount to its book value, a critical data point for any serious investor.

Direct investor relations support through the service agent

While the stock exchange handles the transaction, direct support for shareholders-the people who own the fund-is channeled through a designated service agent. This is where you get specific, non-market-related help. ArrowMark Financial Corp. is managed by ArrowMark Asset Management, LLC, but investor queries are directed to Destra Capital Advisors LLC. If you need to reach out directly, you can use the phone number 877.855.3434 or email BANX@destracapital.com. Honestly, having a dedicated contact point like this helps keep the direct line of communication clear, which is defintely important when dealing with distributions and tax documents.

The relationship structure relies on these external agents for administrative support, which is common for this fund structure. The key touchpoints for direct shareholder service include:

• - Contacting the service agent, Destra Capital Advisors LLC.
• - Utilizing the dedicated email address: BANX@destracapital.com.
• - Calling the support line at 877.855.3434.

Regular financial reporting and distribution announcements

The most concrete way ArrowMark Financial Corp. communicates its value proposition-current income-is through its regular distribution announcements and financial reports. These are scheduled events that anchor the shareholder relationship. For example, the Board declared a regular quarterly cash distribution of $0.45 per share for the third quarter of 2025, payable on September 29, 2025. Plus, they announced a special cash distribution of $0.40 per share, payable on December 10, 2025, generated from excess income. This ability to consistently over-earn the regular distribution is what shareholders are buying into.

Here's a quick look at the recent income and distribution metrics that define this relationship:

Metric	Value / Date	Context
Q2 2025 Net Income Per Share	$0.57	Well in excess of the regular quarterly distribution.
Q3 2025 Regular Distribution	$0.45 per share	Payable September 29, 2025.
Q3 2025 Special Distribution	$0.40 per share	Payable December 10, 2025.
Estimated NAV (July 31, 2025)	$22.22	Monthly update on asset value.
Estimated NAV (October 31, 2025)	$22.41	Latest reported NAV figure.
Upcoming Earnings Report Date (Q3 2025)	November 27, 2025	Scheduled release for the prior quarter's full results.
Reported Q2 2025 EPS	1.44	Actual reported earnings per share.

The company makes these reports available through SEC filings and on its investor relations website, ir.arrowmarkfinancialcorp.com. You can review the Semi-Annual Report - June 30, 2025, which is a key document for understanding the fund's operations and asset quality. The commitment to current income is underscored by the stated dividend yield of 8.16%.

ArrowMark Financial Corp. (BANX) - Canvas Business Model: Channels

You're looking at how ArrowMark Financial Corp. gets its shares into investor hands and how it communicates critical updates. It's a fairly standard setup for a closed-end fund, relying heavily on established market infrastructure.

The primary venue for share purchase and sale is the NASDAQ Global Select Market, where the common stock trades under the ticker BANX. This is the main public access point for investors wanting to buy or sell ownership in ArrowMark Financial Corp. As of early December 2025, the market capitalization stood at approximately $154.13M. Trading activity varies; for instance, on December 3, 2025, the volume was 7,675 shares, though the average volume is closer to 13,476 shares. The stock has seen a 52-week range between a low of $17.99 and a high of $23.67. The company is committed to its distribution objective, declaring a regular cash distribution of $0.45 per share for the third quarter of 2025, with an annualized dividend rate of $1.80, translating to a current yield of about 8.39% based on recent trading prices. The estimated Net Asset Value (NAV) as of October 31, 2025, was reported at $22.41 per share. That's the core market channel right there.

For distribution and investor servicing, ArrowMark Financial Corp. uses a network of financial professionals. While the fund is managed by ArrowMark Asset Management, LLC, the secondary market services are handled by Destra Capital Advisors LLC. This means that brokerage platforms and financial advisors access the shares through established custodial and clearing channels, often facilitated by Destra Capital Advisors LLC, which can be reached at 877-855-3434. To give you a sense of recent institutional flow, as of the January 31, 2025 NAV report, 12 institutional investors had added shares in the preceding quarter, while 15 had decreased their positions.

Transparency and regulatory compliance are handled through a dedicated digital presence. You can find all the necessary regulatory filings, like the Annual Report and Proxy Statements, on the SEC's website at www.sec.gov, but also directly on the Corporate Investor Relations website, which is located at ir.arrowmarkfinancialcorp.com. This site is where the company posts its official communications. For example, the Semi-Annual Report for the period ending June 30, 2025, was filed on August 29, 2025. Also, the 2025 Proxy Statement, a 152.3 KB document, was made available on May 13, 2025. The fund also issues monthly updates; the estimated NAV for October 2025 was released on November 18, 2025.

Here's a quick look at the key data points related to these channels:

• Ticker Symbol on NASDAQ-GS: BANX
• Market Capitalization (Dec 2, 2025): $154.13M
• 52-Week Trading Range: $17.99 to $23.67
• Q3 2025 Regular Distribution: $0.45 per share
• Investor Relations Contact Phone: 877-855-3434
• Latest Semi-Annual Report Filing Date (June 30, 2025 data): August 29, 2025

The flow of information and the ability to trade are directly tied to these established financial plumbing systems. If onboarding takes 14+ days, churn risk rises, but for a listed fund, the market access is immediate, subject only to standard settlement times.

Channel Component	Key Metric/Data Point	Value as of Late 2025
Stock Exchange	Exchange Listing Tier	NASDAQ Global Select Market
Stock Exchange	Market Capitalization	$154.13M
Stock Exchange	Average Daily Trading Volume	13,476 shares
Brokerage/Advisors	Secondary Market Service Agent Contact	877-855-3434
Brokerage/Advisors	Institutional Position Changes (Recent Quarter)	12 added, 15 decreased
Investor Relations Website	Estimated NAV as of October 31, 2025	$22.41
Investor Relations Website	2025 Proxy Statement File Size	152.3 KB

Finance: draft 13-week cash view by Friday.

ArrowMark Financial Corp. (BANX) - Canvas Business Model: Customer Segments

You're looking at the core group of investors ArrowMark Financial Corp. (BANX) targets with its closed-end fund structure, which is laser-focused on delivering current income.

The customer segments are defined by their pursuit of consistent, high cash flow from an investment vehicle that primarily targets the regulatory capital securities of financial institutions.

• - Income-seeking retail investors wanting high yield.
• - Financial professionals and portfolio managers.
• - Investors seeking fixed-income exposure with a unique asset class.

For the income-seeking retail investor, the appeal is the tangible cash payout. ArrowMark Financial Corp. has demonstrated its ability to generate income well above its regular payout, leading to special distributions. For instance, the Board declared a regular quarterly cash distribution of $0.45 per share and a special cash distribution of $0.40 per share for the third quarter 2025. This follows a Q2 2025 where net income was $0.57 per share, significantly exceeding the regular distribution amount. This consistent over-earning has been noted over the past four years.

The appeal to financial professionals and portfolio managers centers on the fund's specific mandate and its performance relative to broader benchmarks. The fund's investment objective is current income, with a lesser extent on capital appreciation. The fund's structure and focus on regulatory capital securities provide an alternative exposure that has shown resilience compared to broader equity markets.

The third segment is drawn to the unique asset class. ArrowMark Financial Corp. pursues its objective by investing primarily in regulatory capital securities of financial institutions. This is a niche area that offers a material premium to traditional markets, as evidenced by the portfolio composition from the end of 2024, which heavily weighted this asset class.

Here's a look at the fund's structure and recent income metrics that appeal to these segments:

Metric	Value as of Late 2025 or Latest Report	Reference Date/Period
Regular Quarterly Distribution (Per Share)	$0.45	Q3 2025 Declaration
Special Distribution (Per Share)	$0.40	Q3 2025 Declaration
Net Income (Per Share)	$0.57	Q2 2025
Estimated Net Asset Value (NAV) (Per Share)	$22.41	October 31, 2025
Share Price (Current)	$21.56	October 31, 2025
Premium/Discount to NAV	-2.04%	October 31, 2025
Total Investment Exposure	$221.406M	December 4, 2025

The focus on regulatory capital securities is central to the value proposition for investors seeking fixed-income exposure outside of typical corporate bonds. As of December 31, 2024, the portfolio breakdown showed this concentration:

• - Regulatory Capital Securities (Credit-Linked Notes): 85.2% of total investments.
• - Term Loans: 5.2%.
• - Structured Debt Security: 5.6%.
• - Trust Preferred and Preferred Securities: 0.9%.
• - Money Market (Short Term Investment): 3.1%.

The fund's total investment portfolio was $201.4 million based on total investments of $201.4 million at the end of 2024. The fund uses leverage, with regulatory leverage at $64.500M as of December 4, 2025, representing an effective leverage of 29.13%.

Finance: draft 13-week cash view by Friday.

ArrowMark Financial Corp. (BANX) - Canvas Business Model: Cost Structure

You're looking at the costs ArrowMark Financial Corp. incurs to run its investment strategy, which is key to understanding the net return shareholders actually see. These expenses directly reduce the investment income generated from their portfolio of regulatory capital securities.

The primary cost components fall into management fees, financing costs, general operations, and public company compliance overhead.

Management and administrative fees are a significant, recurring cost. For the year ended December 31, 2024, the ratio of net operating expenses, excluding interest expense, to managed assets was reported at 4.29%. This figure aligns closely with the upper end of the range you mentioned for management and administrative fees, which you noted as being between 3.85% and 4.29%. The management fee component paid to ArrowMark Asset Management, LLC, was 2.39% per common share as of December 31, 2024.

Interest expense on borrowed funds, or leverage, is another major cost driver. As of December 4, 2025, ArrowMark Financial Corp. had Total Debt of $64.500 million, representing an Effective Leverage of 29.13%. The interest rate structure on their primary borrowing source, the revolving credit agreement, was noted as SOFR + 2.61% in a February 2025 filing, which impacts the interest expense component of the total cost structure. For the full year ended December 31, 2024, the Interest Expense ratio per common share was 2.80%.

Operating and professional service costs cover the day-to-day running of the fund, separate from the investment advisory fee. For the year ended December 31, 2024, the total operating expenses were $10.6 million against total investment income of $29.5 million. The component labeled Other Expenses per common share, which would include many administrative and professional costs, was 1.70% as of December 31, 2024. These costs include items like legal, audit, and transfer agent services; for instance, the transfer agent fee was noted as 0.19% in one analysis.

Costs related to being a publicly traded, SEC-registered fund are embedded within the operating expenses. ArrowMark Financial Corp. is an SEC registered non-diversified, closed-end fund listed on the NASDAQ Global Select Market under the symbol BANX. Compliance with these registration and regulatory requirements inherently increases operating expenses. The fund files reports like the Semi-Annual Report for the period ending June 30, 2025, with the SEC.

Here's a quick look at the most recent concrete expense and leverage data we have:

Expense/Metric Category	Specific Value/Rate	Date/Period Reference
Management Fees (Per Common Share)	2.39%	As of 12/31/2024
Other Expenses (Per Common Share)	1.70%	As of 12/31/2024
Interest Expense (Per Common Share)	2.80%	As of 12/31/2024
Total Expense Ratio (Per Common Share)	6.90%	As of 12/31/2024
Net Operating Expenses (Excl. Interest) to Assets	4.29%	As of 12/31/2024
Total Debt (Leverage)	$64.500 million	As of 12/4/2025
Effective Leverage Percentage	29.13%	As of 12/4/2025
Total Operating Expenses	$10.6 million	Year Ended 12/31/2024

The total expense ratio, which includes management fees, other expenses, and interest expense, was 6.90% as of the end of 2024. Honestly, that total figure is what really matters when you look at the gross investment income.

You should check the Q3 2025 filing when it drops to see if the Interest Expense component has shifted significantly due to SOFR changes, as that leverage cost is variable. Finance: draft 13-week cash view by Friday.

ArrowMark Financial Corp. (BANX) - Canvas Business Model: Revenue Streams

You're looking at the core drivers of ArrowMark Financial Corp. (BANX) earnings, which, as a closed-end fund, are almost entirely derived from its investment portfolio. The business model centers on generating high current income from its specialized holdings.

The primary revenue streams for ArrowMark Financial Corp. are:

• - Investment income from interest and dividends on portfolio securities.
• - Net realized and unrealized gains from investment portfolio.

The focus on current income is evident in the portfolio's characteristics. For instance, the Q2 2025 portfolio investment yield increased to 13.2% from approximately 9.6% (Q4 2019). This high yield is the engine for the interest and dividend component of revenue.

Net income per share was $0.57 in Q2 2025, a defintely strong income stream. This performance significantly exceeded the regular quarterly distribution declared for Q3 2025, which was $0.45 per share, plus a special distribution of $0.40 per share. The Q1 2025 net income was even higher at $0.58 per share. This consistent over-earning of the distribution rate over the past four years shows the income generated from the portfolio is robust enough to cover payouts and build retained earnings.

Here's a look at the key income metrics and distributions that define these revenue streams as of late 2025:

Revenue Component Metric	Value (Per Share or Rate)	Period/Date
Net Income Per Share	$0.57	Q2 2025
Net Income Per Share (Prior Quarter)	$0.58	Q1 2025
Regular Quarterly Distribution Declared	$0.45	Q3 2025
Special Distribution Declared	$0.40	Q3 2025 (Payable Dec 10, 2025)
Portfolio Investment Yield	13.2%	Q2 2025
Estimated NAV Per Share	$22.41	October 31, 2025

The fund pursues its objective by investing primarily in regulatory capital securities of financial institutions. This specialized focus is what drives the high interest and dividend income.

The relationship between the income generated and the distributions paid highlights the strength of the revenue base:

• The Q2 2025 net income of $0.57 per share well exceeded the regular quarterly distribution of $0.45 per share.
• The Q1 2025 net income of $0.58 per share also exceeded the Q2 distribution amount of $0.45 per share.
• The fund has consistently over-earned its quarterly distribution rate for the past four years.
• The portfolio is meaningfully exposed to floating rate assets, approximately 83%, which positions it to benefit from the elevated interest rate environment.

While specific dollar amounts for total interest/dividends versus total realized/unrealized gains for Q2 2025 aren't explicitly itemized in the press releases, the net income figure of $0.57 per share is the sum of these components, net of expenses. Also, distributions from net investment income are declared and paid quarterly, while capital gain distributions are declared and paid at least annually.