RAW Insight

Mortgage Fund reaches outstanding 3-year track record

Since the launch of the RAW Mortgage Fund in May 2015 we have seen a consistent return profile that has attracted institutional investors to the fund. With a very conservative loan-to-value ratio of 45% across the whole loan book the Fund has produced positive returns every month since inception, some 36 consecutive months in total.

Tim Parkes, MD of RAW Capital Partners said, “the Fund has provided remarkably consistent returns which will rise as base rate increases because all the loans are variable rate.”

The RAW Mortgage Fund is invested in residential property loans up to a maximum 55% valuation, backed by a first legal charge over each property. All property-backed loans are originated at a minimum variable rate of 4.25% over UK base rate, which provides investors with a competitive return.

The Fund has gained long-term commitments from institutional investors that are attracted by the consistent return profile, exposure to rising UK interest rates and very conservative loan-to-value ratios. The directors at RAW Capital Partners hold significant personal investments in the Fund on the same terms as other clients, meaning every loan includes risk to their capital simultaneously with other investors.

Since inception, the Fund’s total capital has increased to £25.2m (GBP). The Fund is currently lending against 130 quality residential properties, predominantly focused in London and the South East of England.

The team at RAW Capital Partners are focused on growing the Fund and maintaining this consistent, positive track record.

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