Auto, home, and consumer loan pools offer investors high returns; Borrowers have access to capital
NEW YORK, June 2, 2017 /PRNewswire/ — SyndiCrowd (www.SyndiCrowd.com), an online crowdfunding platform for alternative investments, has been launched. SyndiCrowd provides an online marketplace where subprime borrowers with asset-based loan pools can connect with private investors seeking higher returns and lower risk by investing in diversified loan pools.
SyndiCrowd’s peer-to-peer site is designed to meet the growing needs of yield-hungry private investors and subprime borrowers. Accredited individual investors and smaller institutions now have the ability to invest in diversified pools of auto, home or consumer loans, investment opportunities that were often limited to larger institutions in the past. Subprime borrowers can use www.SyndiCrowd.com to sell asset-based loans to these investors, freeing up capital to make new loans.
Co-founder and CEO of SyndiCrowd, Yuri Vasilievhas more than 20 years of experience as a financial entrepreneur, lawyer and economist in the UK, Israel and Russia. Co-Founder and Chief Financial Officer, Oleg Ermolinis a former CFO and investment management professional and entrepreneur with experience in many early-stage Fin-Tech projects.
“We offer an entirely new model that minimizes the risks for potential investors,” notes Vasilyev. “We provide investors with a pool of asset-based lending products, which lowers the investment risks per se. The pool’s overall default risks are extremely low.”
SyndiCrowd’s experienced team performs thorough borrower screening and provides an in-depth risk assessment of the loan underwriting process. The loans are doubly guaranteed both by the underlying securities (real estate loans and vehicles for example) and by the guarantee of the borrowing company. Igor PostelnikHead of Risk Assessment at SyndiCrowd, is an accomplished risk manager with decades of experience managing market, credit and operational risk and regulatory reporting for financial services companies such as Fidelity, JP Morgan and BNP Paribas.
According to CEO Vasilyev, the United States has the largest subprime mortgage market in the world, with the subprime auto loan market alone having an estimated value of $60 billion per year. The high rates of return in these subprime mortgage markets have attracted banks, hedge funds and institutional investors from around the world. The SyndiCrowd platform now enables private investors and smaller institutions to tap into these huge markets, providing opportunities previously reserved for large hedge funds and institutional investors.
“The real estate, auto and consumer loan markets have been largely inaccessible to private investors,” according to Vasilyev, founder and CEO of SyndiCrowd. “With average rates of return of 8-20%, private investors would obviously like to participate. SyndiCrowd can now help them access these markets.”