3.00-5.00% I/O - 80% Loan Secured by Stock
NONRECOURSE / Non-Qualifying, 3.00%-5.00% I/O quarterly
80% Loan-to-Value Secured by Stocks
(More aggressive than standard Margin Loans)
LTV and rate determined based on specific stocks you own. $50k min.
Loan Term is 3 yrs. – stocks are tied up for the Loan Term.
Cash now but retain upside potential. Defer capital gains versus selling stock now.
Limits downside – similair to a stop-loss.
Nonrecourse – can walk if value below 80% at end of Term.
Cost is 5pts. – net from proceeds
(if stock achieves 1.67% appreciation/ yr. then break even).
Can also be used to leverage current stock position:
Example: $150,000 in Stock can be leveraged to $260,150 in Stock or a combination of Stock and Cash.
For a commitment call or fax stock statement to [phone number removed]