Cadence was founded on a premise that we consider vital for the ongoing development of the private debt markets: transparency.
In August 2019, Cadence became the first alternative investment platform delivering real-time performance data on the underlying assets of some of our structured note offerings. As our platform has grown and partnered with more originators that operate within different industries, utilize different financing instruments, and ultimately serve different market segments, the data and performance metrics that each originator manages and monitors has increasingly varied. …
Since digital asset prices began to falter in early 2018, the hype surrounding blockchain technology has moderated significantly. Although the speculators have largely moved on, believers in distributed ledger technology continue to tackle the challenges and complexities of blockchain development. While countless use cases are being explored, the financial services industry continues to put forward innovative solutions that aim to digitize traditional finance.
According to the 2018 Global Blockchain Survey conducted by PwC, the financial services industry emerges as the clear frontrunner amongst those industries exploring blockchain applications. From cross-border payment platforms to crypto-backed loans, there is no shortage of…
The private debt market is currently experiencing impressive, sustained growth in the realm of alternative investments. While recent interest rate hikes in the US have begun to buoy persistently low bond yields, remnants of the 2008 recession have continued to support the growth of this asset class. Globally, recessionary rates have further supported this trend.
Coinciding with other developed nations, bond yields in Germany and Japan continue to hover below 1% — returning negative yields in some instances. This means that people are paying the government to hold bonds. …
An Overview of Cadence and our Tokens
When you make an investment into any one of our offerings, upon close we simultaneously issue tokens that represent investors’ digital proof of ownership in this investment. As a result, these tokens, or digital assets, are immutably linked to the underlying investment contracts and holders of these tokens are entitled to all the cash flows and economics of the transaction. Investors’ allocations are publicly viewable yet fully anonymized on explorers like Etherscan. This creates a level of transparency in private credit transactions that has simply never been possible before.
What Does The Redemption Do Exactly?
Upon a distribution event within an offering, investors are given the…
We are excited to launch the first of many new features that give our investors optionality with each and every one of their investments. Many of our opportunities are structured to amend and extend upon maturity. For example, when a 1-month offering matures, it can be automatically renewed into an identical structure for the following month. Investors with allocations in an offering slated to mature soon will have priority access to re-invest in the next offering by seamlessly rolling over their proceeds into the new deal.
How to rollover an investment
- For investments that rollover, you will see a button…
The Value Proposition Behind Short Duration Investments
Cadence is committed to building an alternative investment infrastructure for all investors. As we witnessed the markets evolve and various alternative investment platforms go live, we realized there was a mismatch between what was being offered and what investors really wanted. With volatility in the markets driving demand for liquidity, flexibility and optionality are highly valued. We touched on this previously, as part of our originator selection process that enables us to provide built-in liquidity with our short duration products. However, the underlying reasons behind this are more relevant now considering two major indicators:
- Market Volatility — Public equity and…
On February 15, 2019, Cadence’s SPV issued $750,000 in a 1 month structured note yielding 0.800%
Last Friday, Cadence successfully raised $750,000 in structured notes with a 1-month term via a designated SPV. The notes carry an attractive 10.030% APY (0.8% yield), supported by high quality cash flows from term loans and revenue advances extended to Amazon merchants. These underlying assets are underwritten and serviced by SellersFunding, our origination partner in this offering.
Following the initial launch of a $500,000 offering on February 6, 2019, strong investor demand quickly led to an order book that was over 2x oversubscribed. …
Following the 2008 housing market crash and subsequent two-year recession, Americans have enjoyed nearly 10 years of continued economic growth. The Obama and early Trump administrations have been characterized by low interest rates, large increases in productivity, and a booming stock market. Despite a recent slide in the Dow Jones Industrial Average, the index still sits 70% higher than it did even at its pre-crash peak and almost three times as high as its ten-year low. Tax cuts by the Trump administration have further emboldened investors, driving estimated real GDP growth to 3% in 2018. …
On January 24, 2019, Cadence’s SPV issued $500,000 in a 90 day structured note yielding 2.500%
Last Thursday, Cadence successfully raised $500,000 in structured notes with a 90-day term via a designated SPV. The notes carry an attractive 2.5% yield (10.533% APY), supported by high quality cash flows from term loans and revenue advances extended to Amazon merchants. These underlying assets are underwritten and serviced by SellersFunding, our origination partner in this offering.
The deal was very well received by investors, citing strong relative value from an absolute yield perspective and the inherent liquidity offered in a security that matures in 90 days. Additionally, many took note of the generous risk premium offered despite a very…
Technology = Advancement
The development of blockchain technology has created new ways for companies to fundraise for their businesses. Blockchain startups can go the traditional route of raising money from friends/family, VCs, and other institutional investors, or they can have a “public” offering through an Security Token Offering (STO) or Initial Coin Offering (ICO). Public in this case, though, is a relative term. It can mean everyone (in the case of ICOs) or accredited investors only (in the case of most STOs) can participate.
The main benefit of a public offering is that it can be a much swifter way…
