October 2020 Monthly Report

Capspace Private Lending Fund

October was a very successful month for our Fund. We had a number of new investors join us as they were attracted to our stable income return of 8% per annum, paid monthly.

One of our key competitive advantages is the ability of our team to generate lending opportunities that fit the risk profile of the Fund. That is, the loan is short term in nature, with a clearly defined exit that will repay the loan and that the loan is well secured to protect our invested capital. Specifically, we are able to source lending opportunities immediately corresponding to the injection of additional funds by our investors. This enables us to deliver the high rates of return within the Fund.

For Capspace, a key measure of our success is the support and feedback of both our investor and borrower clientele. Encouragingly in October we had both investors & borrowers increasing their invested/borrowed funds with us. These clients told us they valued our service, transparency and professionalism.

As the COVID 19 pandemic continues to impact our economy we continue to diligently monitor our loan portfolio. The portfolio is performing as expected, with all loans operating within the original approval conditions and making scheduled interest and principal repayments. In addition, each loan is well secured to cover the Fund’s capital position. Our average Loan to Value Ratio (LVR) across our loan portfolio is 54%, highlighting the strength or our security position.

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