Preferred Securities Lending Process
We strive to make the lending process simple, efficient,
transparent, and secure
Potential clients can express interest by submitting our simple online application. All we require is a stock ticker, the name of the exchange, and the number of collateral shares against which a loan is requested.
Within 24-hours we will prepare several potential loan options for the client with variable loan-to-value (LTV) ratios, fixed interest-rates, origination fees and loan terms.
Upon receiving confirmation of interest in a specific loan option, we ask the client to fill out a short application and submit the necessary materials in accordance with our Know-Your-Client (KYC) and Anti-Money-Laundering (AML) protocols.
Stock Transfer and Initial Funding
Upon signing the agreement, the client transfers the pledged shares to Astor Capital Fund designated custodial account. A part of the loan proceeds, in accordance with the agreement, is disbursed to the client.
The collateral is re-valuated to attenuate for any possible changes in stock price during the transfer interim. A final closing statement and the remaining loan proceeds are delivered to the client.
Extension and Refinancing
We allow our clients to refinance and/or extend the loan term, in accordance with market conditions and LTV ratio.
Return of Collateral
Upon successful completion of all terms outlined in the contract, including repayment of loan principal, accrued interest, and maintenance of the required LTV, the collateral (same amount of shares) is returned back to the client.