The Financial Services segment services include secured loans to the middle market across a variety of industries.
In the U.S., senior secured loans have traditionally been viewed as an alternative to high-yield.
WhiteHorse will operate as a business-development corporation focused on secured loans to middle-market companies.
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For instance, they are carrying large off-balance-sheet liabilities and have secured loans with collateral that does not exist.
In today's tight credit market Pensco is also seeing groups of people making secured loans--to small businesses or individuals--from their IRAs.
In seeking to achieve its investment objective, the Fund will invest in senior secured loans, high yield corporate bonds and investment grade-rated collateralized loan obligations.
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Daniel Lamy of JPMorgan reckons 23% of the market for European senior secured loans will mature by the end of 2012 (and 44% by end-2013).
That implies Greek banks have almost no spare assets to pledge for secured loans, if they are to keep anything back to cover the money they have borrowed in the form of deposits from ordinary Greek citizens.
If Barclays hasn't, in fact, obtained or offered such loans, its new rules say it must calculate the rate on the basis of other secured loans that the bank has been involved with (i.e. loans backed by collateral).
Overexposure to construction and development loans including loans secured by multifamily and commercial properties: If loans for construction, land development, and other land, and loans secured by multifamily and commercial property are 300% or more of total risk capital, the institution would also be considered to have a CRE concentrations above prudent levels, and should employ heightened risk management practices.
Interest rates can range from 15% for secured auto loans to as much as 40% for unsecured loans, appliances and electronics, driven by high demand for loans and little or no credit history for the borrowers.
Given the greater liquidity in the high yield market, some arrangers are a lot more comfortable underwriting senior secured bridge loans to high yield and then flexing and structuring the capital structure based on market demand.
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While equity stock offerings were used frequently to build their businesses, the BDCs still had large amounts of debt secured by loans and equity investments in the very companies that are most susceptible to liquidity constraints during recessions.
RALs (and similar lending products) are essentially loans secured by the promise of a tax refund.
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Moreover, the banks have too many loans secured by property trading at historic highs.
Much of the banks' real-estate portfolios and their non-performing loans secured against property have been sold off at distressed prices.
Until recently, for instance, banks could avoid setting aside provisions for loans secured by property, even if it was overvalued.
Typically, banks do not make provisions for loans secured against property.
But the SEC and others had never considered what might happen if the bank was unable to borrow from trading partners, even using loans secured by high-quality assets.
The Wilpons needed to conduct the refinancing last year in part because Mr. Wilpon had a number of loans secured with money that had been invested with Mr. Madoff.
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By 2006 the situation had become so bleak that Mr Ford and Don LeClair, then his finance director, decided to undertake a dramatic refinancing of the business by raising bank loans secured against the company's assets.
Through its banking subsidiaries, Whitney engages in commercial and retail banking and in trust business, including the taking of deposits, the making of secured and unsecured loans, the financing of commercial transactions, the issuance of credit cards, the delivery of corporate, pension and personal trust services, investment services and safe deposit rentals.
Chainrai's loans were secured against Al Faraj's 90% shareholding, Fratton Park stadium and future TV revenue.
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These folks are current on their house payments and the loans are secured by real estate.
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Last year Indonesia secured low-interest loans from the Japan International Co-operation Agency to finance most of the project.
These loans are secured on Mr Ebbers's personal assets, including a yacht-sales company, a soyabean farm, and nearly 27m WorldCom shares.
And many bank loans are secured against shares of dwindling value.
In this case, as thanks for the bailouts, banks will be forced to give their irresponsible borrowers a somewhat free pass on loans dishonestly secured, while the savers and investors whose parsimony lies at the core of all economic growth will be shunted aside.
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And since many loans are ultimately secured by land, banks also stand to gain should property recover.
Banks in China prefer loans that are secured by land, buildings and equipment, and are most comfortable lending to state-owned enterprises where there is an implicit government guaranty.
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