Passive income. Asset backed.
10% pa
If investing over $250,000. Investment between $100-250k pays a return of 8.5%.
Paid quarterly
Paid in cash or you can roll-up your investment
90 day liquidity
Open-ended (subject to initial 1 year lock-in)
Investment highlights
A conservative lending profile, with a focus on short-term loans secured by first mortgage against residential property
90 day liquidity (after 1 yr investment); open-ended fund
Cayman Islands feeder for offshore investors, paying income gross and no US filings required.
Minimum investment is $100,000; and is open to ‘Accredited Investors’ only.
About the Fund
The Faes & Co Income Fund is an open-ended fund that aims to provide investors with a consistent and stable return, backed by a liquid underlying asset class (short-term mortgages).
The Fund invests in bridging loans secured against residential property across the United States. We have access to proprietary dealflow through our origination platform, F2 Finance, and our team has almost two decades of experience in the asset class.
The Fund has a stringent underwriting process, including analysis using the most sophisticated tools available in the market; an independent qualified professional physically inspects each property we lend against; and we extensively vet the borrower’s experience and credit history.
The Fund provides investors with the opportunity to earn superior risk-adjusted returns and a steady quarterly income, with a high level of protection and diversification.
Our partners:
Bankers: Citibank
Fund administrator: Socium
Auditors: CohnReznick
ISIN number: KYG3330L1014
CUSIP number: G333OL 101
Consistent, compounding returns
* chart assumes a compounding return of 8.5%
per annum, over a 10 year period.
Get started
Start earning passive income, and a consistent stable return. Please let us know your name and email address, and we will set you up with an account with our investor onboarding platform.
We take a conservative approach to investing, and there are a number of ways that we mitigate risk.
Strong security
We focus on loans secured by a first mortgage (lien) against residential property.
A diversified portfolio
The loan portfolio has diversification by geography, number of borrowers, and number of assets.
Deep domain expertise
We have been successfully working in the short-term mortgage sector for almost two decades. We have unrivalled experience globally.
Conservative LTVs
Our loans have significant equity headroom, against the value of the property.
Liquid assets
The loans are ‘short-term’, and we lend in liquid markets, providing decent liquidity for the Fund.
Investor Protections
Fund is audited: The auditor of the Fund is CohnReznick, which is a Top 10 US accounting firm.
High level of security: Loans in the Fund are secured primarily by first mortgage (lien) against residential property. The current portfolio average is an LTV less than 70%.* Personal guarantees are also obtained from borrowers.
Diversified portfolio: The Fund will have a diversified portfolio of loans and security, ensuring that the portfolio does not have overweight exposure to any one borrower or asset.
Investor Protection Reserve Account: The Fund holds an Investor Protection Reserve Account, which requires the Fund to hold 1% of the prior fiscal year’s interest income as a buffer to protect investor income payments.
Fund winds up if income payments are not made: If the Fund fails to make any two consecutive income payments in full, then the Fund will wind down (which will likely result in losses to the manager). The Fund does not (obviously) guarantee income payments to investors, however the manager is providing this commitment to show it’s confidence in being able to continue to meet the quarterly income payments in full.
* Current at 1 November 2023.
If you would like further information about our Fund, or to be added to our email distribution list, please send us an email at invest@faes.co.
The Fund is available to accredited investors only.
Track record in numbers
$5+ billion
Funds Under Management, businesses we’ve
founded and helped build
200+ people
Employed in these businesses
16 years
Managing funds for investors
