· Due diligence: we commit significant capital only to lenders that have undergone our due diligence process, including, validation of financial and legal base as well as lending procedures; · Geography: our initial focus is on investing in Baltic and CEE alternative finance companies; · Direct purchases: we seek opportunities to acquire loans directly from loan originators; · Diversification: we will manage the loan portfolio so that to avoid substantial concentration in any geography, duration, loan type and other segments; · Target return: we aim to provide investors with a net return of double-digit percent, while protecting downside through loan collateral and guarantees from loan originators.
Investments in loans originated by the rapidly growing alternative finance sector can provide superior risk adjusted returns that Loanstream aims to capitalize on behalf of investors. Loanstream’ s approach is to acquire loans only from carefully selected alternative finance providers that have undergone our due diligence process. We also concentrate on direct loan book acquisition with our proprietary algorithms and access to in-depth data. This allows to minimise risks as well as ensure higher returns than available to individual investors. So far we have purchased loans from about a dozen alternative finance companies after having reviewed many more.