A Lombard loan is a lending facility secured against an investment portfolio. With listed and liquid securities, the loan can be issued extremely quickly – often on the same day. This efficient process and secure collateral leads to extremely competitive rates.
Lombard lending facilities can come in many forms: fixed term loans, revolving credit facilities or even as an overdraft. This product is highly attractive for all parties involved – borrowers, lenders and advisors.
Borrower
Additional credit source
Quick and simple process
No need to divest portfolio
Competitive rates
Lender
Strong credit performance
Highly capital efficient
Easily realisable collateral
Large and growing market
Advisor
Additional client proposition
Retain investment assets
Win new clients with levered portfolios
Defend existing AuM from disinvestment
What do we offer?
Bondsmith - Lombard lending solution suite
Bondsmith has developed a suite of tools to deliver Lombard lending to clients of financial advisors and banks who can finance the loans. These tools include
Origination
Automated, paperless application process
Electronic documentation
Advisor and borrower friendly dashboard
Underwriting
Lender dashboard
Application management queues and prioritisation
KYC and AML checks
Integrated compliance controls (including CCA and MCD)
Customisable auto-decisions, lender credit policy and appetite
Document management
Integrated T&C’s, key information documents
Borrower declarations and signatures
KYC and AML - Document storage
Capital reporting
Sophisticated capital assessment methodology ensuring most efficient risk-weightings
Capital assessed on per asset, portfolio and counterparty basis
Regulator friendly outputs
Loan monitoring
Integrated market data feeds
Daily collateral monitoring and assessment
Lender/advisor dashboards for ongoing monitoring
Customisable credit policy
Loan servicing
Daily loan monitoring and management
Annual loan reviews
Collections and recoveries, including margin call processing
Get in touch!
Next steps
If you are interested in any aspect of this offering, please don’t hesitate to contact us.
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