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Jury still out on litigation finance

Share price performance of two listed litigation funds has been mixed – although there is promise of a 70% net return on investments

Litigation funds have attracted investor interest since a pair of investment companies, Juridica Investments and Burford Capital, debuted on the stock exchange in 2007 and 2009 with the aim of sharing any eventual proceeds from investing in lawsuits.

They were not the only firms to look to make money by covering the costs of individuals and companies pursuing lawsuits in return for a slice of any potential winnings. Unquoted litigation finance providers also include Harbour Litigation Funding and Calunius Capital.

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