Sitemap
Asymmetric Finance

A newsletter for 2,000+ investors seeking to benefit from market asymmetries, focusing on Fat Tails and Risk-Taking. You can find us at www.asymmetricfinance.co

Follow publication

Member-only story

The Secret to Liquidity Without Taxes

5 min readApr 21, 2025

--

Source: Pixabay

Today, I want to introduce you to one of the most overlooked yet powerful tools for building wealth — pledge asset lending. This strategy, often used by the wealthy, allows investors to leverage their existing assets to unlock liquidity, fund new opportunities, and accelerate their path to financial freedom. While it may sound complex, it’s surprisingly accessible and can be a game-changer for individual investors. Let’s explore how it works and why mastering this tool is essential if you want to become a millionaire.

What Is Pledge Asset Lending?

Pledge asset lending, also known as asset-backed lending or collateralized lending, involves using your existing assets — such as stocks, bonds, or investment funds — as collateral to secure a loan. Unlike traditional loans that rely solely on your creditworthiness, pledge asset lending is backed by the value of your investments.

Here’s the key advantage: you don’t have to sell your assets. Instead, you pledge them as security while still benefiting from their growth or income (like dividends). This means you can use borrowed funds for other investments or opportunities without disrupting your long-term portfolio.

Why Pledge Asset Lending Is…

--

--

Asymmetric Finance
Asymmetric Finance

Published in Asymmetric Finance

A newsletter for 2,000+ investors seeking to benefit from market asymmetries, focusing on Fat Tails and Risk-Taking. You can find us at www.asymmetricfinance.co

Carlos Pascual
Carlos Pascual

Written by Carlos Pascual

x4 Top Writer: Economics, Finance, Investing, and Bitcoin. Writer at www.asymmetricfinance.co