I disagree. Its not terminal. The economics of the industry are...

I disagree. Its not terminal. The economics of the industry are still there but they definitely gave away the farm in the early days in a rush to move to a funds management model. A couple of ways this will play out for shareholders.

1. Just wait for a few years while the mistakes in the early funds drop off and we get into the vintages that make money for OBL;
2. Pivot back to a balance sheet funder. Fulfil only the minimum required under the funds model and put the other cases on the balance sheet. Start raising funds for that in the same way Burford does (debt), hybrids etc.
3. Buy out. I think what they bought is still an attractive business. Its actually very attractive to alternative asset managers (because they are the ones benefiting at the moment). Essentially buy OBL and you have the ability to deploy alot of capital into this space and you lock out the other asset managers (because you own the sourcing machine).