So what is it exactly that Yieldtree is doing?
We are working hard to bring institutional style loan deals to high net worth investors and help borrowers gain access to finance.
For Investors: In a world with bond yields at near zero and equity valuations sky high it can be difficult to find investments that offer good risk adjusted returns with some downside protection. Yieldtree can help to find a place to invest capital to generate yields of more than 6% in loans secured against real assets.
Many of these deals have previously been funded by large institutions such as private debt funds, often with long lock in periods for their investors. Yieldtree steps in by securing the deals for our investors and syndicating the deals out. Investors can pick which individual deals they want to invest into, which suit their risk appetite and time frame and generate a passive income stream. Yieldtree manages the loan for you via an investment vehicle and does all the heavy lifting.
For Borrowers: As banks continually pull back from offering finance by reducing the lending ratio available, adding many more covenants and requiring long trading histories, it can be difficult to find finance even when secured against a quality asset. Yieldtree can assist by offering the funds and taking a first charge against the property, before syndicating the loan out to our waiting investors.
We are constantly looking for good loan opportunities and welcome enquires from brokers and originators. We are building a robust pipeline of business and look forward to working with our origination partners time and again.
Yieldtree is opening for business and even as we build our online platform we will be bringing deals to market to help our borrowers and our investors. Register now to be informed!