Racebrook Financial leverages the advisory, restructuring and workout experience of the Racebrook Portfolio Companies into superior risk adjusted returns for investors and its own account. The overall philosophy to invest in real estate and non-real estate related assets where Racebrook brings a unique ability to profitably restructure the assets and improve recoveries should they fail to perform
In light of the continuing liquidity crunch which has frozen credit and traditional lending sources, Racebrook Financial has stepped into this breach and secured commitments, raised funds, and developed a strategy to utilize the New York Federal Reserve Board’s Term Asset-Backed Securities Loan Facility (TALF). The TALF assisted the credit markets in accommodating the credit needs of consumers and small businesses by facilitating the issuance of asset-backed securities (ABS) and improving the market conditions for ABS more generally.
Racebrook Financial was one of the early approved TALF (Term Asset-Backed Securities Loan Facility) borrowers. Racebrook worked extensively with RBS' Consumer Asset Backed Securities Group to structure and eventually participate in the purchase of a proprietary program that allowed Sallie Mae Inc. and The Student Loan Corp to unlock previously unavailable liquidity via the TALF program. In the structure originally created by Racebrook Financial, both these student lenders were able to securitize more than $6 billion in notes backed by student loans. During this process, Racebrook developed extensive expertise in the consumer asset backed securitization space, which in turned further enhances our relationships with active asset backed investors and deepens our ability to accomplish their objectives with structured debt transactions and accelerated asset sales. The firm continues to own and manage a significant portfolio of TALF consumer debt.