DGS Corporate Overview
Diversified Growth Solutions, LLC (DGS) provides innovative finance solutions for the complex funding needs of our valued clientele.
DGS is a risk management and financial consulting company founded in 2008. Throughout the years, DGS has focused on delivering finance solutions, products and services custom-designed to meet the specific needs of our Clients.
As seasoned professionals steeped in project management, DGS has also engaged with Clients to manage their projects on an outsourced basis from top to bottom, including taking lead on project definition, scoping, resource allocations, milestone tracking and delivery of the agreed final results.
DGS addresses Client transaction requirements by developing and deploying customized financial strategies, using innovative insurance product designs where applicable, and involving relevant institutional capital sources. The financial transactions that result can advantage corporations, government entities, and affluent individuals who meet the required standards and criteria established by the transaction counterparties.
DGS Solution Designs: Evolutionary and Opportunistic
At the origin of the company, DGS focused almost entirely on Clients and transactions that involved insurance. Many of the early Clients engaged DGS to arrange proprietary insurance carrier relationships for their new product ideas as well as new distribution relationships to expand the reach for their insurance products. DGS consulted with Clients to develop and implement risk transfer or other risk management strategies to improve the risk profile of their retained insurance portfolios. The array of insurance lines that these endeavors involved included life insurance, annuities, and multiple health-related exposures, and commercial property-casualty engagements.
In recent years, our business development efforts have become more focused on creating efficient access to superior finance solutions across a select group of industries.
In early 2014, Many of our past insurance projects have involved very large corporate, government and affluent individual accounts, and focused on the development of a finance strategy for the Client that allowed the insurance placement to be considered economically attractive by the Client.
In early 2014, DGS began to consider the commercial real estate (CRE) industry concerns relating to the interest carry costs and the restrictive terms associated with the structuring of senior, secured debt in traditional CRE loans. After a substantial investment of time and resources in research and review of existing finance solutions, DGS now provides an innovative approach for CRE finance using "low-floater" bond designs, officially known in the industry as Variable Rate Demand Obligation (VRDO) bonds.
For CRE Clients with superior projects and a strong credit standing, these low floaters can deliver a significantly lower cost of funds, flexible financing terms, and options for the Client to exit the finance strategy virtually "on demand" without prepayment penalties. To illustrate and help Clients understand these bond designs, DGS has developed proprietary software that provides side-by-side comparisons for Clients vs their traditional CRE loans. The DGS technology allows Clients to confirm the clear low floater advantages in the very competitive marketplace.
While developing its turnkey approach to the VRDO market, DGS has pursued a variety of customized life insurance premium funding strategies for both the corporate multi-life insurance program (CMIP) market and the affluent individual life insurance market. Through longstanding affiliations, DGS accesses attractive insurance products from a number of the largest and most influential U.S. insurance companies.
For corporations and government entities, CMIP represents a highly efficient employee recruitment and retention tool, providing funding for employee benefit and other corporate programs over time by insuring the lives of key employees. CMIP accounts are owned by the corporate or governmental sponsoring entity, with all insurance policy values accruing principally to the benefit of the sponsor. CMIP can provide the sponsor with tax-advantaged death and living benefits and with premium funding options that are highly flexible. For affluent individuals interested in estate planning and capital creation, DGS brings access to a range of top-rated insurance providers.
Future Direction as "Customized Solution Providers"
As business development professionals, DGS continues to concentrate on developing broad-based market solutions that draw upon the company's business acumen and experience as key components of value creation for future Clients, banks of all sizes, insurance carriers, and the capital markets. This concentration of expertise and ongoing effort aligns with DGS's plan to continue development of relevant products and services for years to come.