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Steven Cross
National Finance Club has sought to bolster its presence in the investment lending space, with the introduction of a new suite of specialised investment loan products.
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The new products, which will be distributed through the company's accredited brokers, include an alternative documentation loan and a new loan product for Self-Managed Superannuation Funds (SMSFs).
According to Firstfolio’s executive general manager for retail distribution Andrew Clouston, the suite is tailored to brokers who are seeking a broader range of investment tools in a bid to deal with the continued softness in residential property markets.
“We have designed these products carefully for niche investor markets,” Mr Clouston said.
The NFC alt-doc loan targets self-employed business owners wanting to borrow up to $1.25 million. The loan provides investors with a quick settlement period and offers brokers an attractive commission.
“There is growing demand among self-employed borrowers for hassle-free loan products with streamlined verification and settlement processes,” Mr Clouston said.
In the SMSF space, the lifting of restrictions on funds making geared investments has created demand for tailored investment loan products to support asset purchases within the SMSF environment.
NFC’s SMSF loan product is structured to meet the compliance requirements of this lending category, while giving self-managed super fund members maximum flexibility in building a conservatively geared asset portfolio. In piloting the SMSF loan product, NFC has recorded strong interest and uptake.
“Gearing can be a highly effective way to boost long-term returns from an SMSF strategy, and it opens up new asset classes, particularly real property, to self-managed superannuants. Our new SMSF loan offers a complete, simplified package for brokers with clients in this space,” Mr Clouston said.
