I'm not convinced that the returns from litigation funding are there anymore. OBL, which is a flagship company in the sector, conservatively run and well diversified, is doing a good job of proving that the returns aren't there. Maybe they never really were, but the sector just became the flavour of the month asset class for a while.
If that's the case, then the relentless flow of capital into the sector will come to an end.
Oversold ? Possibly. A long term buy - I doubt it.
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