Lending Services
Securities-based financing, also known as securities-based lending or securities-backed lines of credit, describes when a client is allowed to borrow money via their investment portfolio as collateral. The lending value, as a percentage of the assets’ market value, dictates the maximum amount of financing available. By leveraging the value of their assets our clients may obtain a line of credit without having to sell them, allowing the investment portfolio to stay intact and continue to grow. With the right financial advising team by your side, these assets can be leveraged most effectively and to their highest yield.
Our Team and the Lending Process
Our team can walk business owners through the different types of business financing available, and which would be the most suitable fit, such as debt financing (which includes loans, lines of credit, etc.) and equity financing (selling ownership stakes to investors). Our team can help strengthen business loan applications and increase the chances of loan approval through skilled wealth and investment planning. With our tools, we can provide an accurate assessment of a business’ value, prepare financial statements, improve cash flow management, and mitigate the risks involved. Throughout the loan process, our team guides our clients through debt management and financing decisions, growth through strategic planning, regulatory compliance, and negotiating with lenders to maximize potential savings.
Our financial advising services can also be applied to assisting clients with credit card services. Our team is not just able to assist with credit card debt but can help you reach your goals by integrating personal credit into your investment planning. While our team does not sell or market specific credit card services, we are able to help our clients choose the right card for their needs, encourage responsible credit card use, and leverage their benefits given our market knowledge and extensive industry experience.
Learn More about Securities-Based Lending at Wells Fargo
- May be used in for most borrowing purposes other than purchasing or carrying margin stock or paying down a margin account debit.
- Monthly interest capitalizes in the variable-rate loan balance, allowing for payment flexibility as long as there is sufficient collateral to support the outstanding balance.
- Offered by Wells Fargo Bank, N.A. in partnership with Wells Fargo Advisors.
- May be used for securities purchases in addition to other borrowing purposes.
- Fewer eligibility requirements than the Wells Fargo Bank Priority Credit Line.
- Provided by Wells Fargo Advisors.
- Securities-based lending has special risks and is not appropriate for all investors. If the market value of pledged securities declines below the required levels, you may be required to pay down your line of credit or pledge additional eligible securities in order to maintain it; otherwise Wells Fargo may require the sale or some or all of the pledged equities.
- May be used in for most borrowing purposes other than purchasing or carrying margin stock or paying down a margin account debit.
- Monthly interest capitalizes in the variable-rate loan balance, allowing for payment flexibility as long as there is sufficient collateral to support the outstanding balance.
- Offered by Wells Fargo Bank, N.A. in partnership with Wells Fargo Advisors.
- May be used for securities purchases in addition to other borrowing purposes.
- Fewer eligibility requirements than the Wells Fargo Bank Priority Credit Line.
- Provided by Wells Fargo Advisors.
- Securities-based lending has special risks and is not appropriate for all investors. If the market value of pledged securities declines below the required levels, you may be required to pay down your line of credit or pledge additional eligible securities in order to maintain it; otherwise Wells Fargo may require the sale or some or all of the pledged equities.
Lending and Credit
Private Banking Services at Wells Fargo
Your banker works with a team of specialists to deliver custom lending solutions to help meet your complex borrowing needs and help you:
- Optimize cash flow to provide greater efficiency, flexibility, and convenience within your plan.
- Increase tax efficiencies while potentially preserving and growing your wealth.
- Finance purchases while potentially avoiding depleting your cash reserves.
- Manage investment allocations to seek asset diversification.
- Work towards estate investment planning goals, such as efficient asset transfer between generations, while preserving personal liquidity.
Additional Offerings
Offered through Wells Fargo Bank, N.A.
- Private Mortgage Banking, offered through Wells Fargo Home Mortgage, offers powerful strategies and nationwide access to competitively priced mortgage options to fit your broad wealth plan, including flexibility around non-traditional income streams and ownership structures.
- The Private Bank By Invitation Visa Signature® Card delivers elevated experience and relevant benefits, including high-value rewards, luxury travel, concierge service, and unique dining and shopping privileges.**
- Interest rate and currency risk management strategies help reduce the impact of volatility on cash flow and earnings. ***
Wells Fargo & Co. and its Affiliates do not provide tax or legal advice. This communication cannot be relied upon to avoid tax penalties. Please consult your tax and legal advisors to determine how this information may apply to your own situation. Whether any planned tax result is realized by you depends on the specific facts of your own situation at the time your tax return is filed. Any estate plan should be reviewed by an attorney who specializes in estate planning and is licensed to practice in your state.
Residential Mortgages offered through Wells Fargo Home Mortgage, a division of Wells Fargo Bank, N.A.
**Credit cards are offered through Wells Fargo Bank, N.A. and are subject to credit approval, verification and collateral evaluation. Products are not available in all states. Certain restrictions apply. Programs, rates, terms and conditions are subject to change without notice.
Credit cards are issued by Wells Fargo Bank, N.A., a bank affiliate of Wells Fargo & Co.
***Wells Fargo & Co. offers swaps, foreign exchange hedging products and foreign currency risk management solutions through Wells Fargo Bank, N.A., which is a swap dealer registered with the Commodity Futures Trading Commission (“CFTC”) and a member of the National Futures Association (“NFA”). Balances held offshore, including multi-currency accounts and foreign deposits, are not FDIC-insured, may lose value, and are not guaranteed. Foreign Exchange and Interest Rate Risk Management products and services are subject to customer qualification. NMLSR 399801.
Offered through Wells Fargo Bank, N.A.
Custom Credit Solutions
The custom credit team can provide the financial foundation to help you move quickly and take advantage of opportunities when they arise, and to manage liquidity as it fluctuates. Start with a discovery process to thoroughly communicate your specific goals. This will allow you to explore customized, secured credit solutions or even unsecured options that support your complex borrowing needs. Whether your goal is to increase liquidity, manage estate planning goals, enhance tax efficiency, enable life-enhancing purchases, or maintain portfolio diversification, your custom credit banker can help select and tailor the solutions that best fit your situation.
Real estate investments carry unique risks including lack of liquidity and potential complex tax consequences and may not be appropriate for all investors. Insurance products are offered through nonbank insurance agency affiliates of Wells Fargo & Co. and are underwritten by unaffiliated insurance companies. Alternative investments carry specific investor qualifications which can include high income and net-worth requirements as well as relatively high investment minimums. Available to pre-qualified investors only. Some fees may apply and can include but are not limited to an application, processing, or loan fees. Wells Fargo Advisors is not a legal or tax advisor. However, we will be glad to work with you, your accountant, tax advisor and or lawyer to help you meet your financial goals. Any estate plan should be reviewed by an attorney who specializes in estate planning and is licensed to practice in your state. Diversification does not guarantee a profit or protect against loss in a declining market. Residential Mortgages offered through Wells Fargo Home Mortgage, a division of Wells Fargo Bank, N.A. Wells Fargo Bank, NA. NMSLR ID 399801.
Customized strategies for your short-term needs
Leverage cash, cash alternatives, marketable securities, and fixed income holdings to create liquidity while maintaining your positions.
- Help keep overall portfolio risk and diversification levels intact.
- Using liquid, marketable assets helps lower the cost of capital.
- Flexible and timely access to funds.
Offered through Wells Fargo Bank, N.A.
Put your company shares to work for you: Holding a large and concentrated position of your firm may seem restrictive. Tailored lending solutions leverage semi-liquid and custom assets; from privately held stock to concentrated or restricted public equity positions.
- Unlock capital to diversify your portfolio, manage liquidity, or take advantage of opportunities to help achieve your wealth management goals.
- Use private company shares to facilitate a stock loan with potentially more favorable terms.
- Retain the potential upside of concentrated stock, restricted Rule 144 securities, or real estate investment trust (REIT) operating unit holdings through a customized loan structure.
- Assist with a tax-efficient strategy that helps meet your needs without incurring capital gains.
Diversification does not guarantee a profit or protect against losses. Wells Fargo & Co. and its Affiliates do not provide tax or legal advice. This communication cannot be relied upon to avoid tax penalties. Please consult your tax and legal advisors to determine how this information may apply to your own situation. Whether any planned tax result is realized by you depends on the specific facts of your own situation at the time your tax return is filed. Alternative investments carry specific investor qualifications which can include high income and net-worth requirements as well as relatively high investment minimums. Available to pre-qualified investors only. Some fees may apply and can include but are not limited to an application, processing, or loan fees. Real estate investments carry unique risks including lack of liquidity and potential complex tax consequences and may not be appropriate for all investors. There are special risks associated with an investment in real estate, including the possible illiquidity of the underlying properties, credit risk, interest rate fluctuations and the impact of varied economic conditions.
The custom credit team can provide the financial foundation to help you move quickly and take advantage of opportunities when they arise, and to manage liquidity as it fluctuates. Start with a discovery process to thoroughly communicate your specific goals. This will allow you to explore customized, secured credit solutions or even unsecured options that support your complex borrowing needs. Whether your goal is to increase liquidity, manage estate planning goals, enhance tax efficiency, enable life-enhancing purchases, or maintain portfolio diversification, your custom credit banker can help select and tailor the solutions that best fit your situation.
Real estate investments carry unique risks including lack of liquidity and potential complex tax consequences and may not be appropriate for all investors. Insurance products are offered through nonbank insurance agency affiliates of Wells Fargo & Co. and are underwritten by unaffiliated insurance companies. Alternative investments carry specific investor qualifications which can include high income and net-worth requirements as well as relatively high investment minimums. Available to pre-qualified investors only. Some fees may apply and can include but are not limited to an application, processing, or loan fees. Wells Fargo Advisors is not a legal or tax advisor. However, we will be glad to work with you, your accountant, tax advisor and or lawyer to help you meet your financial goals. Any estate plan should be reviewed by an attorney who specializes in estate planning and is licensed to practice in your state. Diversification does not guarantee a profit or protect against loss in a declining market. Residential Mortgages offered through Wells Fargo Home Mortgage, a division of Wells Fargo Bank, N.A. Wells Fargo Bank, NA. NMSLR ID 399801.
Customized strategies for your short-term needs
Leverage cash, cash alternatives, marketable securities, and fixed income holdings to create liquidity while maintaining your positions.
- Help keep overall portfolio risk and diversification levels intact.
- Using liquid, marketable assets helps lower the cost of capital.
- Flexible and timely access to funds.
Offered through Wells Fargo Bank, N.A.
Put your company shares to work for you: Holding a large and concentrated position of your firm may seem restrictive. Tailored lending solutions leverage semi-liquid and custom assets; from privately held stock to concentrated or restricted public equity positions.
- Unlock capital to diversify your portfolio, manage liquidity, or take advantage of opportunities to help achieve your wealth management goals.
- Use private company shares to facilitate a stock loan with potentially more favorable terms.
- Retain the potential upside of concentrated stock, restricted Rule 144 securities, or real estate investment trust (REIT) operating unit holdings through a customized loan structure.
- Assist with a tax-efficient strategy that helps meet your needs without incurring capital gains.
Diversification does not guarantee a profit or protect against losses. Wells Fargo & Co. and its Affiliates do not provide tax or legal advice. This communication cannot be relied upon to avoid tax penalties. Please consult your tax and legal advisors to determine how this information may apply to your own situation. Whether any planned tax result is realized by you depends on the specific facts of your own situation at the time your tax return is filed. Alternative investments carry specific investor qualifications which can include high income and net-worth requirements as well as relatively high investment minimums. Available to pre-qualified investors only. Some fees may apply and can include but are not limited to an application, processing, or loan fees. Real estate investments carry unique risks including lack of liquidity and potential complex tax consequences and may not be appropriate for all investors. There are special risks associated with an investment in real estate, including the possible illiquidity of the underlying properties, credit risk, interest rate fluctuations and the impact of varied economic conditions.