BEVERLY HILLS, CA — Adult business owners can hedge their bets, trim their hedges, smoke Benson & Hedges – and thanks to a firm seeking to match adult entertainment businesses with investors, soon take advantage of a hedge fund. For those still fuzzy on the whole investment concept, a hedge fund is a type of investment fund that charges a performance fee and is only available to a limited range of accredited investors. They are often limited partnerships with the goal of making money unrelated to the general financial market, with returns dependent upon how much is invested.

Adult entertainment, for all its potential profitability, is not considered part of the greater financial market.

AdultVest, headed by visionary founder Francis Koenig, sees this as an opportunity long overlooked and plans to launch a hedge fund in the next 45 days, designed specifically to find qualified investors for adult entertainment clubs.

Koenig anticipates loans ranging from $500,000 to $10 million being attracted and expects that there will be plenty of business owners eager for the opportunity to expand. “Many of these clubs are not able to obtain funding through banks because banks won’t lend to adult-use properties,” he explained to Alternative Investment News recently.

While there’s always risk involved in any financial venture, Koenig considers the 3,700 gentleman’s clubs throughout the United States and Canada to be excellent candidates for profit. In fact, if a club owner defaults, AdultVest has the right to foreclose on the property and purchase it, making it a “highly secured asset,” in his eyes.

AdultVest is the only investment firm to enter the investment world with an exclusive focus on the adult entertainment arena and claims to have more than 1,000 accredited investors and 300 adult companies already onboard. Koenig, who began his career at the tender age of 14 as a researcher at his father’s hedge fund firm, has been featured in mainstream media outlets including CNN Money, Business 2.0 Magazine, Forbes, Hedge Fund Daily, Institutional Investor Magazine, and the LA Daily News.

Los Angeles will host the first AdultVest investment conference during the coming year in order to march investors with suitable adult industry investment opportunities.