Fermifin is a Mexican company with a multidisciplinary team and more than 20 years of experience in the financial, real estate, and commercial sectors. The firm specializes in structuring, acquiring, servicing, and managing loan portfolios, particularly distressed and non-performing loan (NPL) portfolios. Its servicing strategy incorporates high-impact extrajudicial and judicial recovery workflows, enabling the monetization and long-term value maximization of loan portfolios.
Structured Finance Experience
The group has participated in more than USD 900 million in structured vehicles since 2003, including some of the first mortgage-backed securitizations launched in the Mexican market. These structures included:
• Overcollateralization mechanisms, including target OC cash-flow triggers
• Partial credit enhancements from third parties such as the International Finance Corporation (IFC)
• Fullwrap guarantees from international monoline insurers such as FGIC and MBIA
• Revolving structures exceeding 95% utilization, developed with institutions such as HSBC
• Credit and warehouse lines used as capital-raising mechanisms
Master Servicer in Public Issuances
FERMIFIN participated in the creation of the Master Servicer figure for public issuances beginning in 2004. This role provides issuers and investors with active oversight of asset servicing and management.
The firm also promoted expanding the responsibilities of the Master Servicer toward monetization-focused roles, contributing to incremental asset cashflows of up to 20% in certain issuances.
Interaction with Rating Agencies
The team has extensive experience working with Moody’s, Fitch Ratings, and S&P—strengthening its understanding of agency methodologies and standards governing structured finance, portfolio performance, and servicer quality. This expertise has supported credit enhancement strategies and the credit quality of multiple issuers.
Portfolio Migration & Onboarding
FERMIFIN has led migration and onboarding processes for loan portfolios in public and private operations involving institutions such as HSBC, CIBanco, MONEX, Scotiabank, and Invex. This includes:
• Creation and transition to new collection accounts
• Location and notification of borrowers/guarantors
• Design and implementation of support programs and mass-communication campaigns
• Document retrieval and completion
• Delinquency containment and deterioration-prevention strategies
• Acceleration and supervision of legal processes
Valuation of Financial Instruments & Loan Portfolios
With more than two decades of experience, the group performs valuation of debt instruments with complex waterfall structures and subordinated tranches. Valuation assignments serve as inputs for secondary-market pricing, acquisition processes, risk modeling, and portfolio analysis.
The team also conducts valuations for mortgage, consumer, and commercial portfolios, both in public and private bidding processes.
Distressed Portfolio Acquisition
Over the past 10 years, FERMIFIN has acquired more than USD 940 million in distressed loan portfolios, achieving average returns of 25%. Acquisition categories include:
• Mortgage NPLs
• Consumer NPLs
• Commercial NPLs
These acquisitions were conducted through competitive auctions and direct invitations, working with institutions such as SHF, Banamex, HSBC, and other financial entities.
Valuation accuracy and comprehensive due diligence are considered critical elements of their acquisition methodology.
Portfolio Servicing & Asset Management
The group has serviced over USD 2 billion in assets—primarily delinquent loan portfolios—and has developed proprietary platforms for servicing, operations, workflow automation, and supervisory controls.
FERMIFIN’s servicing model is structured around four core pillars:
1. Operations
• Payment identification
• Payment application
• Balance updates and reconciliations
• Account statement issuance
2. Extrajudicial Servicing
With over 10 years generating consistent cashflows for closed portfolios, FERMIFIN has achieved additional inflows exceeding 45% by implementing:
• Portfolio onboarding planning
• Tailored collection strategies
• Support programs: restructures, settlements, payment plans
• Segmented servicer/agent assignment
• Multi-channel contact tools (call center, on-site visits, robots, email, SMS)
• Negotiation and case resolution
3. Judicial Servicing
• Legal process platforms developed
• Specialized in-house legal team
• Strategic alliances with 120+ law firms across Mexico
• Performance monitoring with incentive-based controls
• Certified mediator capabilities
4. Collateral Commercialization
The group maintains relationships with over 40 active investors specialized in purchasing mortgage collateral and distressed real-estate assets.
International Markets
Since 2016, FERMIFIN has developed platforms for the acquisition and servicing of credit portfolios across more than 20 countries, supported by strategic alliances with local partners that enhance operational execution and asset-level servicing.