Equities First Holdings, LLC is a leading financial service firm that offers lending solutions for high-net-worth individuals and businesses that seek non-purpose capital. The company was founded in 2002 and has its headquarters at Indianapolis, Indiana but with a satellite office located in New York City. Equities First Holdings is recognized for its unique securities based lending services with loans based on an evaluation of risks and future performance of stocks, treasuries, and bonds.
Since 2002, the firm has enabled several individuals and companies to acquire alternative funding against publicly traded stocks. So far, the company has transacted over 650 applications worth more than $1.4 billion. The funds offer clients high loan-to-value rates at minimum interest rates.
Equity First Holdings Record Increased Transactions In Margin Loans and Stock-Based Loans. In economic times when ordinary banks are tightening lending criteria, Equities First Holdings has received massive numbers of borrowers seeking quick capital. Others may have failed to meet the rigorous requirements by the conventional lenders.
Al Christy, Jr., the founder and CEO of EFH, considers loans that are collateralized by stocks as the alternative innovative means of getting working capital. The fixed interest rates and high loan-to-value rations ensure that the borrower gets maximum value for their money.Christy also notes that many borrowers confuse margin loans for stock-based loans. They are marked differently in terms of qualification procedures. With margin loans, you must be pre-qualified just like the case of conventional loans. The bank may demand to know the purpose of the loan and the money must be used for that specific purpose. The interest rates are also variable and the loan-to-value rations are between 10% and 50%. In an event of margin call, the bank can decide to liquidate the collateral without notice.
However, with stock-based loans, the borrower is offered fixed interest rates, and loan-to-value rations are between 50% and 75%. The borrower can use the money for any purpose, and the loans are non-recourse.