Securities-Based Lending for Banks
Building C-Suite Confidence Through Policy, Compliance & Operational Clarity
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The Challenge​
​​​Most commercial banks, especially those without broker-dealer affiliates, are more familiar with CRE, residential mortgages, and cash-flow lending. SBL introduces new credit and regulatory considerations that require thoughtful evaluation by the Chief Credit Officer (CCO) and broader leadership.
What the C-Suite Needs to Know:
Key Decision Factors
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What is the appropriate credit policy for SBL lines of Credit, and how will securities-based lines of credit be risk-rated?
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What advance & maintenance rates are appropriate?
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How will collateral be monitored efficiently—without expanding headcount?​
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What is the balance sheet treatment of SBL lines of Credit? ​
Operational Considerations
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Servicing and support headcount for SBL loans and lines of credit
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Regulatory compliance
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Documentation required to book and classify SBL lines of credit
The SBLOC Wealth Advisors Advantage:
Expertise That Drives Confidence
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Draft time-tested, regulator-ready SBL credit policies
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Design scalable operational workflows
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Minimize capital costs while meeting compliance standards
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Position SBL as a low-to-no loan loss business with strong pre-tax margins
The Outcome
A well-structured SBL program—backed by clear policy, efficient operations, and regulatory alignment - can unlock new revenue streams while keeping risk in check.