Faes & Co Income Fund · For registered investment advisors
Asset-backed lending. Built for advisor allocations.
A real estate-backed income strategy that a growing number of RIA firms allocate to on behalf of their accredited clients — supported by the materials, data and education your team needs to bring it to them.
Working with advisors
We work with a number of RIA firms whose clients are invested in the Faes & Co Income Fund — from single-advisor practices to multi-billion-dollar firms allocating across client households.
Advisors come to us for the same reason their clients do: a real estate-backed income strategy with a defined target return, quarterly distributions and first-lien security, run by a team that originates and services every loan itself. It is designed to sit in the income or alternatives sleeve of a client portfolio, alongside — not instead of — public fixed income.
We are not an asset gatherer that disappears after the subscription. The relationship with an advisor firm is an ongoing one: diligence support up front, materials your team can actually use with clients, and direct access to us when a client has a question you would rather not answer alone.
9.5%
Target return per annum †
Quarterly
Distributions paid, or reinvested
90 days
Liquidity, after initial 12-month lock-in
Platform access
Available through custodial platforms your firm already uses.
The Fund can be held through a number of the custodial and alternative-investment platforms that advisors commonly use, including Charles Schwab, as well as directly and through self-directed retirement custodians. If you would like to confirm availability and the operational detail for your own custodian, speak to us and we will walk your operations team through it.
Platforms and custodians named here are independent third parties. They do not endorse, recommend or review the merits of the Fund, and nothing here should be read as a recommendation by them. Availability can change and is subject to each platform's own eligibility and approval requirements.
What we give advisor firms
Resources your team can put in front of clients.
Client-ready materials
Fund brochure, quarterly factsheet, portfolio snapshot and one-page summaries written for an end client rather than an institution — available for your advisors to use in client conversations.
Diligence pack
Offering documents, audited financials, the loan-level portfolio data behind the numbers, and the detail on origination, underwriting and servicing that your investment committee will want to see.
Education and events
Webinars, explainers on how first-lien bridge lending works and where the risks sit, and sessions we will run directly with your advisors or your clients.
A direct line to us
You deal with our investor relations team and, where it helps, with the people who originate and manage the loans. Onboarding, subscriptions and reporting are handled by us and the Fund's administrator.
Where you will find us
We're part of the advisor community.
Faes & Co has been a regular sponsor of Future Proof, and we regularly attend and support a range of other events across the advisor and wealth management community throughout the year. If your team is going to an event we're going to be at, let us know — we would always rather to meet in person than send a pitch deck.
Our team at the Future Proof conference in Miami
Common questions from advisors
The things advisor firms ask us.
Who is eligible to invest?
The Fund is offered to verified accredited investors only, by way of its offering documents. We verify accreditation as part of onboarding, and can work with your firm's preferred verification process.
How does this fit in a client portfolio?
Advisors typically use it in an income or alternatives allocation, as a complement to public fixed income rather than a substitute for it. Position sizing is a matter for you and your client; we are not investment advisers and do not give allocation advice.
What does the underlying portfolio look like?
Short-term loans to professional property investors, secured by a first mortgage on predominantly residential real estate across the United States, originated by our group lender F2 Finance. Average loan size is under $1 million, with a portfolio-wide loan-to-value of around 60%. The full snapshot is on the Invest page.
How are reporting and valuations handled?
The Fund is administered by Suntera Fund Services and audited by Cherry Bekaert. Investors receive quarterly statements and distributions, and we publish an updated portfolio snapshot each quarter.
What are the liquidity terms?
After an initial 12-month lock-in, redemptions are available on 90 days' notice, subject to the terms of the offering documents. The underlying loans are short-term, which is what makes that possible, but liquidity is not guaranteed and the manager may suspend or gate redemptions in certain circumstances.
Can we co-brand materials for our clients?
In most cases yes, subject to review and to your own compliance requirements. Speak to us about what you need and we will work through it with you.
Next step
Let's talk about your clients.
Whether you are running first-pass diligence or ready to allocate, we will give you straight answers and the materials to take to your investment committee. We can also arrange a session for your advisors or a joint client webinar.
† The Fund pays a target return of 9.5% for investments over $250,000; for investments less than this, the Fund pays a target return of 8.5%. Returns are a target distribution rate, are not guaranteed, and are paid at the discretion of the Fund. Capital is at risk. Past distributions are not a guarantee of future distributions. Redemptions are subject to the initial 12-month lock-in, notice requirements and the terms of the Fund's offering documents, including the manager's right to suspend or gate redemptions in certain circumstances. This page is directed at investment professionals and is for information only; it is not investment, legal or tax advice, and it is not a recommendation to allocate client capital. Faes & Co is not a registered investment adviser and does not provide advice to your clients. Any platforms, custodians, service providers or events named on this page are independent third parties and do not endorse or recommend the Fund. Interests in the Fund are offered only to verified accredited investors by way of the Fund's offering documents, which alone govern the terms of any investment.
Investor relations
Contact our investor relations team
Questions about allocating client capital to the Fund, platform access, due diligence materials or co-branded resources? Michael and Analisa work with advisor firms every week.
Michael Tschirley
