ST. PAUL, Minn.--(BUSINESS WIRE)--Securian Asset Management has closed participation in the first Multiple Client Loan Group (MCLG) loan sale program and has plans to launch a second MCLG group that is expected to close in early 2020.
Securian Asset Management (Securian AM) currently services more than $4 billion in its commercial mortgage loan portfolio.
“Securian AM’s MCLG commercial mortgage loan program was developed as the solution for our institutional clients seeking to capture enhanced yields, competitive risk-adjusted returns and to diversify their investment portfolios with commercial mortgage lending,” said Craig Stapleton, senior vice president for Securian Asset Management. “We offer our MCLG program with a minimum $10 million commitment, in addition to our existing commercial mortgage loan participation programs for larger client mandates. The MCLG program will seek yield spreads of approximately 70 basis points over comparable A-rated corporate bonds.”
“The hallmark of Securian AM’s commercial mortgage loan capabilities is our experienced underwriting team,” said Sean O’Connell, CFA, senior vice president and head of real estate and alternatives for Securian Asset Management. “Our underwriting process includes ongoing surveillance and loan management, individual loan review and inspection on every property in the portfolio. We are enthusiastic about our expanded ability to provide insurance companies and other institutional investors the opportunity to participate in a loan sale program that can help achieve their portfolio goals and yield targets.”
ABOUT SECURIAN ASSET MANAGEMENT
Securian Asset Management, Inc. (Securian AM) is an institutional asset manager specializing in public and private fixed income, commercial real estate debt and other income-oriented equity investment strategies with more than $42 billion under management as of June 30, 2019—including more than $11 billion in real estate assets. Securian AM also underwrites, originates and services commercial mortgage loans for its clients. The asset manager was established in 1984 and traces its history to the founding of parent firm Securian Financial in 1880. Securian Asset Management is a subsidiary of Securian Financial Group, Inc.
ABOUT SECURIAN FINANCIAL
At Securian Financial, we’re here for family. And we’re here because of it. We’re guided by our purpose: helping customers build secure tomorrows. Since 1880, we’ve been building a uniquely diversified company that has outlasted economic ups and downs while staying true to our customers. We’re committed to the markets we serve, providing insurance, investment and retirement solutions that give families the confidence to focus on what’s truly valuable: banking memories with those who matter most.
Loan participations are not securities. The purchase of a participation in a commercial mortgage loan described herein is a purchase of a portion of a commercial mortgage loan and is a sale transaction between Minnesota Life Insurance Company (as the lender) and the purchaser. Securian Asset Management, Inc., (Securian AM) an affiliate of Minnesota Life, analyzes the property and the loan terms to determine whether the loan is suitable for Minnesota Life Insurance Company only. Neither Securian AM nor Minnesota Life Insurance Company make any representations or warranties about the underwriting process to the purchaser. Securian AM is a registered investment adviser but does not act as such in performing mortgage loan underwriting and servicing and therefore does not provide investment advisory services to any purchaser in its commercial mortgage loan sale programs.
It should not be assumed that loans were or will be profitable, or that such production will continue on the same terms due to changing market conditions. Lending involves many inherent risks, including the potential loss of the entire loan.
This is a general communication for informational and educational purposes. The materials and the information are not designed, or intended, to be applicable to any person’s individual circumstances. It should not be considered investment advice, nor does it constitute a recommendation that anyone engage in (or refrain from) a particular course of action. If you are seeking investment advice or recommendations, please contact your financial professional.
Securian Financial is the marketing name for Securian Financial Group, Inc. and affiliates. Minnesota Life Insurance Company and Securian Life Insurance Company are affiliates of Securian Financial Group, Inc.