Securities Backed Lending | Loans Using Stock As Collateral A stock-collateralized loan, also known as a securities backed lending, is a type of loan that uses the borrower’s investment portfolio as collateral. This type of loan is typically offered by specialized lending institutions, such as brokerage firms or banks, and can be used for a variety of purposes, including investing in additional securities, paying off debt, or covering unexpected expenses. For high-net-worth individuals and business owners, this structure offers a strategic way to access liquidity while maintaining exposure to market performance. In simple terms, your investment portfolio becomes a line of credit — allowing you to raise funds quickly and efficiently, without triggering a taxable event or disrupting your long-term investment strategy. At Platinum Global Bridging Finance, we specialise in arranging customised securities backed loans through our global lending network, helping clients unlock capital while retaining control of their assets. How Loans Using Stock as Collateral Work When you use your securities as collateral, the lender assesses your portfolio’s composition, liquidity, and market stability to determine a loan-to-value (LTV) ratio — typically ranging from 50% to 80% depending on the quality of the holdings. Once approved, the funds are released as a loan or revolving credit line. The borrower continues to own the securities and benefits from any market appreciation or dividends during the loan term. Step-by-Step Process Portfolio Assessment – Your publicly traded shares or managed portfolio are reviewed for eligibility. Loan Structuring – The lender sets terms, including LTV ratio, interest rate, and repayment flexibility. Pledge Agreement – Securities are held as collateral, usually in a custody account, but not sold or traded. Disbursement – Funds are released quickly — often within days. Loan Servicing – You continue to receive dividends and capital gains while servicing the interest
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