For high net worth individuals our flexible solutions are discreet and competitive. Securities backed loans may be used for any purpose, including real estate investments, bridge loans, personal expenses, business expansion, debt/loan consolidation, luxury purchases or simply providing a hedge for your current investment portfolio.
By having a securities backed loan in place, you do not need to sell assets (which may have tax implications) or secure a last-minute loan at unfavourable terms and rates, so you’ll be better prepared for whatever comes your way.
Here is an example. Let’s say a stockholder is looking to buy property, he can use his stock portfolio to borrow the money and buy the property free and clear. If the price of the stock falls, or for any other reason, he decides not to repay the loan, he still owns the property free and clear, keeps all the money he borrowed and the lender will not foreclose or place any liens against the property he bought with the money that was borrowed or any of his other assets. This is not the case with a traditional lender.