Next-generation Securities-based Financing Hits the Market

FOR IMMEDIATE RELEASE
(Free-Press-Release.com) February 20, 2010 -- Bethesda, MD - February 21, 2010 - Securities Finance LLC of Bethesda, MD today formally launched a loan program designed with the safety and security concerns of today's investors in mind.

The loan programs use stocks, bonds, mutual funds, government securities, and many other types of marketable securities to collateralize a loan managed and underwritten through one of several major U.S. brokerage institutions. Through its relationship with a large Swiss-U.S. private equity fund, Securities Finance is able to facilitate loans with features generally unavailable without a sizable preexisting depository relationship.

The loans are typically interest-only, though they can be structured to include principal payments. They can be paid off at any time without penalty. And best of all, the collateral securities remain in the client's title and their own account throughout the loan term.

"Imagine a loan where you retain full and true ownership of your shares but receive up to 95% of market value in the form of an low-interest, interest-only loan that you can pay off at any time without penalty" said Daniel W. Stafford, company president. And flexibility remains at the core of this program. "We will introduce you to the licensed account advisors at the well-known, fully regulated SIPC-member brokerage who will manage your loan. But the final loan documents will be arranged with your input and, where possible, your preferences", said Stafford. Securities Finance issues a term sheet, but there is no obligation at any time to continue with any loan until and unless the borrower chooses to accept his loan contract.

Because a simple lien is applied to the collateral securities, freezing them until the loan is repaid, regaining full rights to trade or sell the securities in your account is as simple as lifting the lien. There are no issues of retransfer or retitling of shares as is often the case with stock loan programs where the title must first be transferred to the lender before the loan cash can be delivered. The program operates as a credit facility enhanced by the participation of the equity fund. "Think of it as a convenient financial tool representing the best of both worlds - the leverage of a private equity fund, the regulated security of a major brokerage and banking firm," noted Stafford. "And for financial advisors of all types, here is a licensed, regulated institutional setting for loan program that you can plug directly into your current service offerings, from you to the institution direct."

Rates for this facility range from 3% to 7% and it is especially conducive to funding in the high (eight figure) categories, though the program will accept portfolios as small as $120,000 in value.

For further information please visit www.securitiesfinance.com, write support@securitiesfinance.com, or call 877-612-0008.

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More information can be found online at http://www.securitiesfinance.com

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