➔ Our average loan size and borrower sale price cater to the median cost of housing.

➔ We do not cater to the luxury market. There is a much larger pool of buyers in the median cost of housing category than there is in the luxury market.

➔ Experienced borrowers make healthy acquisitions and a lower amount of mistakes.

➔ They are also better equipped to navigate an up or down market or a shift in their business plan.

➔ We are committed to a $0 principal loss.

➔ Having a low ARV leaves a healthy buffer for any shift in the market. 

➔ Being in a loan for a short period mitigates our risk of any shift in the market - this is done by design to mitigate market risk.

➔ The borrower's net worth and liquidity is an essential factor in the underwriting process because it demonstrates that the borrower has the liquidity to finish the project, make on-time monthly payments, and pay off our loan.

➔ Having access to the borrower's credit gives us a glimpse into the borrower's financial stability and payment history.

➔ With an average FICO score of 693, our borrowers are institutional grade and have a proven track record of consistent and on-time payments. 

➔ Our borrowers are seasoned and experienced. They have seen several market cycles, which gives them the ability to navigate the market with a high rate of success.

➔ The borrower's skin in the game is a crucial part of our decision-making power. We want to make sure that the borrower is invested in every loan we make, and their investment must be considerable. 

➔ Profit splits occur only after investors receive their preferred return.

➔ Principals have invested their own capital in The Fund alongside the investors.

➔ Real estate-backed protection.

➔ Senior first lien position.

➔ Loans are diversified geographically and across several resilient asset classes.

➔ Risk is spread across a portfolio of loans.

➔ Loans must meet stringent underwriting. We place a lot of emphasis on loan to value ratios, asset class & location, borrower experience, net-worth, FICO, etc.

➔ Quarterly distributions, with intent to accelerate to monthly distributions.

➔ Delivering attractive returns with first lien protection and limited liability to LPs.

➔ Predictable returns.

➔ While generating above-market returns, The Fund is able to reduce exposure to market volatility. A key function of this is the short duration of the loans. Most loans are repaid within 11 months.

➔ Fundamentally, investments in debt are less risky than an equity investment

➔ Our yields are stable because they are not tied to the volatile stock market.