20
Arkus PDS
B = Amount an Investor requested to withdraw; and C = Total of all amounts Investors request to withdraw. For example, if there is $3 million available to meet Withdrawal Requests and an Investor
This is an example only and the actual results will depend on the
and each Investor’s own particular circumstances. GPS does not guarantee
of $10,000, and if Investors lodge Withdrawal
made, or an amount of $3 million (or any other amount) will be available under
The key fundamentals of the Fund investment strategy include: • investing in Registered First Mortgages and cash held in Australian banks; • no related party lending; • independent, expert valuations obtained before settlement; • properties only located in South East Queensland; and • maximum loan limits to avoid exposure to single loans, secured property types or any one Borrower.
The GPS Group have been writing loans similar to those in which the Fund will invest since it was founded in 1994. GPS has built on its history and experience in the mortgage lending industry to develop proven, robust processes and policies in the key areas of: • mortgage origination and assessment; • legal documentation and loan settlement; • on-going management; and • default management.
The Fund will invest exclusively in Registered First Mortgage loans over residential and non- residential property in South East Queensland, and cash held in Australian banks. The Fund will lend for residential and non-residential construction and development projects We will only take a First Mortgage position as the Fund’s primary security. However, the Fund and other funds managed by GPS may make a loan to the same Borrower. In such a circumstance, the funds may be joint lenders with the loan secured by a joint First Mortgage. The policies of GPS in the following key areas are: • the maximum loan amount for any one loan will not exceed $15,000,000 without approval from the GPS Board; • the Borrower’s capacity to service loans will be assessed by provision and analysis
provide evidence that interest payments can be met when and as they fall due or interest for the loan term will be capitalised within the loan amount; • when the loan is renewed as a result of it exceeding its initial term, the loan will be reassessed as if it was a new loan, including obtaining an updated valuation of the secured property, if considered necessary; • security properties will consist of residential and non-residential properties in South East Queensland. All loans made by the Fund are secured by Registered First Mortgage over real property. Security properties need not be income producing; and • there is currently no intention for the Fund to invest in other unlisted mortgage schemes.
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