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Equities First Provides Unique Financing Option

When looking for a personal loan, there are many different types of loans and lenders to choose from. One lender that should be considered is Equities First, which is an international specialty-finance firm that has provided over $1 billion in loans to consumers in the past decade alone.Equities First is a unique finance firm because they provide personal loans that take stock portfolios, and other forms of liquid assets, as collateral. Having the stock portfolio provided as collateral provides the lender with a great amount of security, which will then allow them to provide low interest rates and fees to borrowers.

Consumers that are looking for a personal loan will benefit from taking out a loan through Equities First for a few different reasons. The first advantage of taking out a loan through Equities First is that it is more affordable and comes with a higher chance of approval. Most successful traditional banks today have cut back a lot on consumer loans, particularly those loans that are unsecured. Even borrowers that are able to qualify for the personal loan will find that they will have a much higher interest rate and fee structure.

Taking out a loan from Equities First is also beneficial if the borrower does not want to have to liquidate their stock. When liquidating a stock portfolio, there are several different tax and investment strategy consequences. From a tax perspective, those that have not held the stock for a long period of time may have to pay a higher interest rate on any gains received. Those that are considering a sale will also miss out on any stock appreciation and dividends that could be received in future years. This could ultimately result on a significantly diluted level of equity and total return on investment for the borrower.


Are You thinking of using Stock as Collateral? Try Equities First

Are You thinking of using Stock as Collateral? Try Equities First

Equities First is a company that provides some services to entities that are seeking non-purpose capital. They mainly provide their services to businesses and individuals with a high net-worth. Services that they provide include lending solutions and supplying liquidity to their clients. They do this by providing capital against stock that is publicly traded. A customer can get a loan through the stock that they own. The company is also a global lender and supplies capital on shares that are traded in markets all over the world. The company works with every client to provide an offering that suits their needs. Equities First has done a good job for customers that it has worked with in the past. It has done more than 600 transactions to date. They amount to $1.4 billion.

The method that the company uses has been heralded because it comes at a low cost and the financing terms are favorable. Borrowers using stock as loan collateral has grown in recent years because of the advantages that it has over other means of financing solutions. Individuals can acquire financing quickly. They can get a loan even if they do not have access to credit-based loans. Banks have started to tighten their lending criteria. This has made it easier to become ineligible for certain types of loans. The interest rates are lower than those that the banks offer. They have a fixed interest rate which means that there is assurance of the total sum that is to be paid.

Stock-based loans are favorable to the client because they move their investments away from a market that is considered to be a downside. This is because the value of a stock might fall at any time and the value of their stock investment goes down. Stock-based loans such as the one offered by Equities First are not to be used for a particular purpose, unlike margin-based loans. The client is free to use it as they want. Most of the loans also have a non-recourse agreement where the client can back out of the loan at any time.

Global Lender Equities First Holdings Sees a Growing Trend Among Borrowers Who Use Stock as Loan Collateral to Secure Working Capital

Equities First Holdings is one of the companies that offers the alternative sources of financial operations using stocks as sources of finance during the harsh economic times. For the business, nothing gives them more joy that to continue with these transactions and aid companies and other individuals with the non-recourse capital. During this era of harsh economic tomes where banking institutions have tightened their capabilities to issue credit-based loans, the company has seen traction in the stock-based loans as one of the next best options for those seeking large working capital. As a matter of fact, the stock-based loans have gained traction. For those borrowers seeking fast working financial operations to conduct their projects and business dealings, we are here to announce to you that Equities First Holdings has gained popularity as the better option.

While there are many other options left for those borrowers to secure capital, there are many banks and financial companies that work to cut down their lending capabilities. As a matter of fact, these banks have increased their interest rates to scare away most borrowers seeking credit-based loans, in the recent past, there has been an increase in tightened loan qualification criterion. According to the founder and president of Equities First Holdings, he has seen the use of stocks as collateral to secure working capital as one of the most innovative ways in this business. The stock-based loans are characterized by a higher-loan-to-value ratio to offer fixed interest rates. For you to have a sustained capability in interest rates, you must first compare your financial sources.

During a three-year loan term, there is always inevitable market fluctuation. However, there is the use of stock-based loans that provide a hedge between your problem and the financial services offered by Equities First Holdings. In the market, you can have a lower investment risk using the stock-based loans even when the points are lowered. Most of the stock-based loans are characterized by the non-recourse feature that lets you qualify for the loan even when you don’t state the use of the credit. Even when the stock depreciates, you can have a hedge between the loan and the use of the money in your projects.

According to Al Christy, margin loans are considered by many to be synonymous with the stock-based loans. For this reason, stock-based loans are considered as one of the best entities over the margin loans. There are marked differences between the two.