Our Strategy

We seek to achieve attractive risk adjusted returns by exploiting inefficiencies in the residential and commercial real estate lending market. We employ research-based investment, financing and asset management approaches designed to minimize risk while maximizing returns to investors. We apply our deep understanding of credit risk management and underwriting process on loan level and market data to determine appropriate risk based pricing. We are a team of dedicated mortgage and finance professionals and our analyses combine internal research and expertise to develop performance expectations of residential and commercial real estate markets.

Our Investment Philosophy

Aggregation

  • Imperial Fund’s relationship with A&D Mortgage enables Imperial to purchase high-quality loans tailored to its desired credit profile
  • Non-Agency loans offer an attractive risk-adjusted return in a growing market segment

Reinvestment

  • Employ structural term leverage from securitizations, portfolio returns, and loan financing facilities to purchase high- quality non-Agency loans
  • Utilize the breadth and depth of Imperial Fund with A&D Mortgage to act upon key market opportunities and risks

Securitization

Securitization enables us to:

  • Secure a fixed cost of funding
  • Replace mark-to-market financial leverage with term structural leverage

Tranch Retention

  • Typically retain the bottom 5% of the fair market value of securitization
  • Retention of subordinated and interest-only tranches can drive higher returns without additional financial leverage