Non-Recourse Stock Loans and Block Trades to Raise Capital
No Title Transfer Non – Recourse Stock Loan
Stock secured financing and equity lending is not a new concept in the global marketplace. For a number of years, stock loans and equity loans were only available to high net worth clients with accounts at large international institutions. Oceanview is one few alternative sources to introduce the stock loan product to a wider range of customers in an effort to democratize alternative financial solutions.
A stock loan is also non-purpose, allowing the borrower to invest in what he or she might need. Since the loan is also non-recourse, if the value of the security has a steep decline, the borrower has the option of terminating the loan, or keeping the loan proceeds with no further obligation. If the security appreciates, the borrower retains 100% of the upside market value after paying back the original loan. Read More »
Securities Lending on Stocks You Already Own
Securities lending is a common method for an investor to generate additional income on an existing stock portfolio. Securities lending is when you (the Lender) temporarily loan your securities to Oceanview Consultant Partners (the Borrower). Oceanview enters into a loan agreement with you that details the terms of the loan, how the Lender is paid, how the income generated will be shared as well as collateral from Oceanview to protect the Lender in the event of default. Read More »
Oceanview is a specialist at providing liquidity for clients in possession of concentrated security positions. Clients in need of a block purchase transaction usually need rapid liquidity for an investment opportunity or to handle a debt, and they can’t afford to take the time to liquidate enough of their holdings. OVCP will acquire the position at a negotiated discount and then fund the transaction immediately, thus providing liquidity to the client and, over time, slowly liquidate the position.
Stocks with strong volume may be purchased all at once if the stock and discount are attractive enough. In other cases the purchase may be in increments over two or more weeks depending on the case. Read More »