With the high level of private banking focus on increasing Assets Under Management (AUM/A) or Advisement the potential revenue increases that robust Credit Outstandings can provide sometimes take a back seat.  It's understandable in that the clients themselves don't often think of borrowing a their financial solution.  More often than not the High Net Worth Individual thinks borrowing is, at best, costly and at worst places undo risk on their financial plans.  By showing the client the Economic Benefit potentially gained through the use of a Strategic Credit Structure the Adviser's role is truly enhanced and the client gains a viable alternative financial solution.  A solution that not only provides the client with substantial Economic Benefit but also increases the bank's credit balances outstanding and maintains or potentially enhances the current level of AUM. 

Hopefully, this short discussion will stimulate your interest.  There are many Wealthy Individual Client situations the will give rise to substantial and measurable Economic Benefit through the use of a Strategic Credit Facility as an alternative to the client's original approach.

A few examples would include:

Your client plans to draw down cash or liquidate investment assets to fund “Private Equity Investments" -Consider the use of a Strategic credit Facility so as to keep cash and investment assets invested

Your client is planning the purchase of or already owns Life Insurance within an Irrevocable Like Insurance Trust - Consider the use of a Strategic Credit Facility to avoid Gift Tax and/or investment asset liquidation

Your client uses GRATS to accomplish inter-generational transfer residual assets - Consider the use of a Strategic Credit Facility to "insure" the GRATS are successful

Your client seeks to finance or refinance an asset purchase (or desires 100% financing) - Consider the use of a Strategic Credit Facility to avoid typical market "closing costs" and obtain a lower rate of interest


To review a short PowerPoint on the subject please click the Link embedded here.

For a much deeper level of detail on the Strategic Credit uses I've mentioned here please review the previously published articles my LinkedIn profile page or on my blog.

I am ready to discuss the delivery of an "Credit Opportunity Discovery"educational offering for your the many advisory constituencies that make up your team.  Please don't hesitate in contacting me at 404-909-5167. 

Thank you.

mark.johnson@stategiccreditsolutions.com

on Twitter @creditstrategic