Credit Morgan loans offer attractive investment opportunities for Institutional Investors
Endowments and foundations
Banks, financial advisors, and institutions are increasingly looking to invest in marketplace lending seeking higher yields, diversification, and low correlation. In partnering with Credit Morgan, investors can access SME credits through whole loans, securitizations, or certificates.
Insurance companies & pension funds
Seek risk-averse investment strategies
Want net-cash-flow-positive investments to cover liabilities
Need investment structures that are compliant with regulatory requirements
Require alignment of risk-return profiles with investment policies
Seek access to a wide range of asset classes internationally
Need substantial portfolio volumes
Want a more standardised investment procedure
Require assets that are in alignment with investment guidelines
Want to expand their loan book
Seek attractive new fixed-income investments
Desire transparent investments
Need more active management of balance sheet
Require portfolio diversification
Want instruments suitable to smaller transaction sizes
Seek international origination sources
Desire alternative investments
Investing at scale with Credit Morgan
Our dedicated Institutional Team has a wide range of investment management and trading experience and is here to help you navigate the marketplace lending investment process.
Our products for asset managers, hedge funds, pensions, foundations, endowments, broker-dealers, insurance companies and more..
Differentiate your business by offering clients a fixed-income product that can diversify their portfolios. In partnering with Credit Morgan, investors can access SME credits through whole loans, securitizations, or certificates.
Differentiate your business
Offer your clients unique business credits investment access
At $5.94 trillion, SME credit is a significant component of the fixed income market Credit Morgan has provided investors access to through our marketplace lending platform. In today’s low-yielding environment, investing in a portfolio corresponding to short duration consumer loans may provide competitive returns while reducing risk and adding diversification to your clients’ portfolios.
Purchase high-quality loans or partner with us to offer loans to your customers.
Banks and Credit Morgan
Purchase Credit Morgan loans that meet your bank’s credit criteria to potentially generate competitive returns.
Banks of any size can potentially earn competitive returns and offer customers access to Credit Morgan products.
We began partnering with banks in 2018 to enable them to both purchase loans directly through the Credit Morgan platform or offer Credit Morgan products to their customers.
Complement the strengths of your bank
Broaden your investment offerings by easily and efficiently building an investment portfolio tied to small business loans
Opportunity to capture returns of 3-8% net of fees, expenses, and modeled credit losses
No Set Minimum Commitment
Begin with a pilot program of any size, then scale as you wish
Our digitalized loan funding, servicing, borrower application and underwriting processes undercut otherwise steep operational costs
Diversified stable portfolio
You can invest in a multitude of SME loans from different risk classes and diversify your portfolio attractive returns between 3.9% to 9.9%
Data-driven high technology
We provide investors with fast flexible, and cost-effective solutions. Both securitisation and reports generation processes are automated for optimum efficiency and minimum drain on resources.
Active risk management/mitigation, collateralization, and insurance deliver low volatility relative to target return levels.
Low volatility and correlation
The Credit Morgan platform is aligned with EU capital markets initiatives that seek to connect institutional money to the real economy’s financing needs by turning different kinds of loans originated across Europe into fungible and tradeable notes.
Combining rigorous credit assessment with the latest tech
Our platform gives institutional investors access to small business loans, an asset class historically the domain of commercial bank balance sheets. We leverage the latest technology to streamline processes, giving fast, efficient service to borrowers while retaining rigorous credit assessment practices. We believe it’s a better system for everyone.
Continued growth in facilitating business loans globally, enabled by data driven marketing and quality customer service.
Our experienced credit assessment team optimise market best practice with leading technology to provide risk based pricing on loans.
We manage all servicing, collections and recoveries on behalf of investors.
As an alternative finance provider dedicated to funding growing and ambitious SMEs, Credit Morgan enables institutional investors to invest in direct commercial loans to UK SMEs.
Our senior management team has extensive experience across banking, asset management, operations and IT so is well placed to understand the needs of institutional investors and deliver bespoke solutions.
Credit Morgan operates a multi-functional team operating a large scale operation covering the whole loan life cycle, encompassing
The team follows a robust, proven process, allowing it to support a number of mandates to meet institutional debt investor requirements.
How we manage risk
Only established businesses who have passed our rigorous credit assessment process can borrow through Credit Morgan.
However, it’s important to remember that some businesses will not be able to fully repay their loan. We call this a bad debt, and it’s already accounted for in your projected return.
We reduce the impact of bad debt in 5 key ways:
1. Big Data Analytics-based credit algorithm
Our proprietary credit model uses thousands of data points to assess the creditworthiness of every business that applies. It uses publicly available information, credit bureau data and our own historical data of loan performance and applications. Successful applications are then given a risk band from A+ to E, which helps determine the interest rate they’ll pay.
2. Rigorous assessment with advanced technology
Our vastly experienced credit assessment team combine decades of experience from some of the world’s leading financial institutions. They use thousands of data points, innovative technology and their detailed understanding of business lending to assess every application, so only creditworthy businesses are approved.
3. Diversification and minimum investment
Diversification, where you spread your lending across many businesses, is the best way to earn a stable return as it reduces the impact of businesses being unable to repay their loans. By using our automated lending tool, you can easily lend to hundreds of businesses to quickly build a diversified portfolio.
- Lend to at least 200 businesses
- Lend no more than 0.5% of your total to each one
4. Collections and Recoveries team: We collect debts for you
When a business is unable to fully repay their loan, we handle everything for you. Our Collections & Recoveries team pursue every single late or defaulted loan, arranging a new payment plan if possible, or exhausting every legal process available. The team has a range of methods and technologies in place to recover as much as possible for you.
5. The Credit Protection Fund
Investments with Credit Morgan are protected by the Credit Protection Fund which provides a buffer against poorly performing loans. The Credit Protection Fund is made up of payments received from every borrower, based on Credit Morgan’s assessment of their creditworthiness when the loan is granted.