created for investors
With interest rates at historic lows and geopolitical risks at elevated levels, investors are looking for returns from their investments without taking on undue risk.
Asset backed loans are typically investments that are made in large size, and therefore have been out of reach to many investors.
Other investors have the financial resources but lack the expertise and sourcing abilities.
Yieldtree plugs the gap by originating through our trusted partners network, curating and funding loans in institutional size, before syndicating the deals to Wholesale / Accredited Investors.
high Income generation
Yieldtree deals offer a net yield of between 6 - 12% to the investor. This depends on factors such as asset type and quality, LVR, loan duration and complexity.
Income is generally paid to investors on a quarterly basis, directly into their nominated bank account. After the investment has been made, Yieldtree takes care of the administrative details of the loan.
secured by assets
Yieldtree deals are backed by assets such as property, livestock, or artwork by way of a legal charge over the asset. This means that in the event that a borrower defaults on payments, the secured asset can be sold and the proceeds used to pay back investors.
Valuations of the assets are obtained at the time of lending, and a certain proportion of the value is lent - this is the Loan to Value Ratio (LVR). This ensures there is a buffer to protect the investor against falls in the asset price in the event of a default by the borrower.
Short Duration Investments
With total loan tenors of between 6 - 36 months, investors can select the deals that most suit their circumstances. The short term nature of these investments means that investors get paid back their principal plus interest quickly, enabling them to redeploy as necessary.
With the ability to participate in many deals, investors can build a diversified portfolio of loans with staggered maturities, reducing the risk they take on.
Qualified Origination Partners
We work with experts across multiple asset classes. We qualify our partners based on investment process, risk management and track record.
Our origination partners will often retain some of the loan investment for themselves, thereby also having "skin in the game".