A securities-backed loan is a private non-bank loan secured by a pledge of eligible publicly-traded securities (e.g., stocks, bonds, mutual funds, ETFs). Your client borrows against assets they already own, without selling those assets. Your client pledges assets as loan collateral, and immediately receives a percentage (Loan-to-Value ratio) of the market value in cash. When the loan is repaid, your client's collateral is released backed to them.

In short, any of your clients seeking liquidity, without liquidating assets. Beyond that generalization, scenarios might include: client who need capital more quickly than traditional lending avenues can provide; clients who value the relative anonymity (vis-à-vis bank loans) of securities-backed loans; clients using a securities-backed loan as a financial strategy (e.g., tax optimization); and clients who can't liquidate assets (e.g., company founders, controlling shareholders).

The overarching benefit is immediate liquidity without liquidating. Clients can meet short-term cash needs, without the adverse consequences (e.g., capital gains taxes) of an outright sale, and while remaining fully invested and retaining most beneficial ownership (e.g., capital appreciation). Risks are limited, since all loans are non-recourse. Your client is never liable for the full loan amount; if they default, they surrender their pledged assets only, and that's it.

Red Viking accepts most publicly-traded assets as loan collateral, most commonly stocks (including ADRs/GDRs), bonds (corporate and government), funds (e.g., mutual funds, ETFs), and certain digital assets (mainly "blue-chip" cryptocurrencies and stablecoins, such as Bitcoin and Tether). Occasionally, and on a case-by-case basis, Red Viking will consider less-liquid assets (e.g., fully-vested restricted stock units, initial public offering lock-up shares).

The amount your clients can borrow is largely determined by the asset class, market value, and risk profile of their assets, which determine the Loan-to-Value (LTV) ratio (the higher the LTV, the more they can borrow). Red Viking offers flexible loan terms (typically 2-10 years) and payment schedules (e.g., monthly, quarterly), as well as competitive fixed interest rates (typically 3-9%). There is never an up-front consultation fee, and expenses (if any) are minimal.

Very private, and very confidential. During our initiation discussions, you can share your client's situation and needs on a no-name basis, without any formal paperwork. If and when your client chooses to proceed, we request very limited personal information (just AML/KYC basics). Because Red Viking loans are non-recourse, no background checks or credit checks are necessary, nor do we report to credit agencies (even if your client defaults on the loan).

The short answer is "fit." Red Viking understands your clientele, and the nature of your relationship with that clientele. We work directly with advisors (like you), and specialize in complex lending solutions for high-net-worth individuals. Red Viking values long-term mutually-beneficial relationships with our clients (hopefully you), and offers a generous fee-sharing model. We have an impeccable 20-year track record without a single disciplinary action, anywhere in the world.