Posts in Category: Banking

Equities First Holdings: Your Better Choice in Lending

Equities First Holdings (EFH) is a global leader in the provision of efficient solutions to business entities and high net-worth single investors looking for non-purpose capital. Due to its need to serve its customers and other business associates well and to be easily accessible the company has decided to relocate its Melbourne local offices to a new locality. Their new offices are now located in Collin Street- Level 2, in Victoria 3000, Melbourne.

While commenting about the relocation, the Managing Director of Equities First Holdings (Australia), Mitchell Hopwood said that the new offices would enable them to serve their clients and provide more room for expansion. In Australia, the company has three offices, that is, Perth, Sydney, and Melbourne. Apart from the Australian offices, the company also has branches in UK, Thailand, Hong Kong, Singapore, Switzerland, and Indianapolis, the USA which also serves as the company’s headquarters.

Since it was started in 2002, the company has carried out over 700 transactions worth 1.4billion. Equities First Holdings LLC provides customers with alternative capital. It supplies capital against publicly held stock enabling their clients to meet their professional and personal goals. The capital provided is not pegged to any specific investment. Click here to know more.

EFH’s client includes businesses and high net-worth individuals seeking non-purpose capital. Non-purpose means once the loan has been issued, the borrower is not restricted as to what purpose they can put the capital into. They can invest in whatever befits them. These kinds of loans use equities as collateral for a specified period.

Equity First Holding’s hyper-focused nature enables it to operate on a deal-by-deal basis. They believe in the empowerment of its clients through the provision of tailored products. The company’s loans are easily obtainable in a five step process: contacting the company, valuation, drafting terms of agreement and transfer, getting the funding and lastly return of collateral by the company upon repayment of the principal loan amount and accrued interests.

Alaor and BMG currently standings


it has been revealed that twenty days after their risk grade (rating) downgraded by Fitch rating agency, the BMG bank, a leader in providing payroll loans from private financial institutions in the country, began a process of restructuring changes at the top of the institution. According to the Union of Bank of Belo Horizonte Area, 17 employees occupying executive positions and who worked at the bank’s headquarters were shut down last week.

Among them is the commercial director of BMG, Nelio Brant, who had the dismissal confirmed by the vice president of BMG, Márcio de Araújo Alaor. Despite the shutdown, Brant said it will continue to provide advice to the bank.

Sources close to the financial markets speculate that there may be layoffs in offices and representations in Brazil. These cuts would be linked to pressures on BMG’s capital base after completion of the acquisition of Schahin and GE banks. Fitch Ratings downgraded the bank note BMG BB- to B foreign currency and A- to BBB in local currency.

BMG announced the acquisition of Schahin in April last year by R $ 250 million. The Credit Guarantee Fund (FGC) brokered negotiations between the two banks because the Schahin was facing capital problems.

The analyst at Fitch Robert Stoll, said the purchase raised the amount of goodwill for $ 1.6 billion. “The amount of goodwill was primarily due to selective exclusion effected by BMG of assets weakened the Schahin, while the BMG has assumed all its liabilities. This selection process, monitored by Brazilian bank regulators, took the capital of Schahin to be $ 1.3 billion negative at the time of acquisition, “he says.

In the assessment of Fitch, the profitability of BMG should be below the average of its competitors in the short term, since the ability to internal capital generation of the bank will be limited due to the increase in administrative expenses and borrowing and competition.

The vice president of BMG, Márcio Alaor ensures that even with relegation, there was not even an investor’s redemption request. “BMG recorded a growth of 35.6% in the Bank’s portfolio of loans, closing 2011 with a balance of $11.092 billion. Already the total portfolio of loans and leases showed a balance at December 31, 2011 of $ 29.078 billion, representing an increase of 18.7% over the same period of 2010, “says Alaor

Also according to market sources, the layoffs are part of a restructuring process that has already sees a fierce war being waged by the payroll loan market. The Bank of Brazil and the Federal Savings Bank reduced interest rates on loans in order to strengthen the government’s policy to pressure the financial system to reduce bank interest.

Marcio Alaor is a Brazilian entrepreneur that is currently executive of Banco BMG. In addition to being connected to BMG, Alaor is known for revealing companies that have major progressions throughout the year. In a recent report he has identified 15 airlines that are able to stand apart from its competition. Either financially, technically, or innovatively.