There’s a range of different types of programs and a range of different ways to join a program. You can choose a specific program to meet your specifications from the main menu at the top of this page.
Behind the scenes of the program the trader will make the most of the asset by generating a line of credit against the asset. This can be 10 times that value or the LTV of the asset. The trader will then use the line of credit to trade, which could mean purchasing SBLC’s or MTN’s at a discounted price and then instantly selling them at a higher price to pension funds, insurance funds etc. These buying and selling arrangements will already be secured behind the scenes and will be established contracts, not reliant on the Principal entering the program. The trade platform or trader will have a trade agreement with the Principal and will agree the parameters and returns of the trade, including duration, if there is to be a bullet trade, any rollovers and extensions, compounding, guarantees or best performance returns and more.
As you can see, it isn’t a one size fits all. There’s a selection of criteria to consider.
The very best entry point to a program is $500M, but you can easily enter a program with $100M and Global Title And Escrow Servicess LLC (GTES) can introduce you to a ledger to ledger transaction starting at $50M. That being said there are many small capital programs and micro programs that range from $1M – $100M and there are even the occasional programs which start at $500K. However, it’s critical to acknowledge that the small capital programs and lower entry point programs are not available for long and they can be difficult to enter due to demand and timing. Plus, with the micro and small capital programs you might be requested to transfer the funds to an escrow account.
If you are looking at joining a program and are not clear of the procedure and don’t have the right associates, contact GTES or request a call.