Property valuation at 70-80% of the sworn appraisal value.
The proposed amendments in the draft law aim to boost flexibility and legal certainty in Luxembourg’s securitization transactions, fostering market growth. Leveraging Monroe Assets Securities (MAS) offers a strategic advantage in today’s challenging global real estate landscape. Obtaining attractive returns and accurately assessing asset values pose challenges. Securitisation operations conducted by MAS facilitate asset revaluation and expected returns, driven by their exceptional professionalism and expertise.
We concentrate on securitising a variety of assets to provide concrete value to our clients. What distinguishes us is our commitment to being genuine partners in our clients’ success. Our expertise lies in asset management, enabling asset revaluation through securitisation, and ensuring the secure and transparent management of securities
We represent a Luxembourg-based incorporated fund, led by a team of financial investment and asset management specialists. Our experts bring extensive experience from Asia, Europe, and the United States, operating across multiple branches in Italy, Switzerland, and the United Arab Emirates. What sets us apart is our collaborative approach we’re not just performers; we’re partners. Currently, Monroe Assets Securities manages EUR 4.8 billion in Assets Under Management (AUM).
A diverse array of assets is eligible for securitisation, encompassing:
Various types of negotiable financial instruments include:
Property valuation at 70-80% of the sworn appraisal value.
Securitisation of properties.
Ensured safety of the property during regular activities.
Annuity generation between 1.5% and 3% monthly, based on 50% of the appraised property value.
|
ASSET VALUE
|
LTV APPROX
|
MONTHLY INCOME
|
|---|---|---|
|
5MLN
|
80%
|
88.000,00
|
Securitisation involves converting assets, risks, or future cash flows into securities that can be traded in the market. In May 2021, the Luxembourg Minister of Finance proposed draft law no. 7825, amending the 2004 law on securitization, with the aim of increasing flexibility and legal certainty in Luxembourg’s securitization transactions.
This financial process typically involves transforming assets into securities to raise funds, generate liquidity, or transfer risk by selling these securities to external investors. The primary objective is for investors to purchase these securities, allowing them to benefit from the investments made by the securitisation vehicle.
Securitisation vehicles pool together assets that generate predictable cash flows or rights to future cash flows, converting them into securities such as shares, bonds, or other tradable instruments. It’s essential to note that investors face minimal risk as these securities may qualify as Asset Backed Securities (ABS), with the underlying assets serving as collateral for the investment
Following these steps allows clients to benefit from MAS expertise in asset securitisation, structured property valuation, and consistent returns:
Sign AML, Non-Solicitation, and NCNDA agreements. Provide CIS and property documentation in Italian, English, and French, including a sworn appraisal.
Sign the definitive contract confirming sub-sector value and returns.
Open the Compartment and transfer the property (asset). Property owner becomes the 100% owner of the Compartment.
Sign POA granting authorisation to manage security notes and seed marketable instruments. Includes bank account opening and monthly return crediting.
Issuance of Security note meeting financial market regulations. Professional underwriters may request issuance. Fund guarantees profit returns as per the contract.
Customer receives returns by the 10th in their reference bank account. The Luxembourg securitisation fund establishes independent sub-funds within real estate, complying with Luxembourg law. Clients hold 100% ownership within sub-funds, signing a POA with Monroe for security management and monthly returns while retaining full control.
