We often get asked by new investors how they can hear about the latest deals on Cadence. The answer is fairly simple: we send email notifications to all applicable investors as soon as deals go live!
Yet who gets these emails and when differs from investor to investor. There is an order, after all, of how and when emails are sent, and who receives them
Rollover investors are first in line
Investors who already invested in a previous note offered by the same originator have the first 24 hours of the syndication window to invest. This is exclusive to them, as it allows existing investors to roll over their investment to a similar note.
Dutch auction participants are next
Any investors taking place in a Dutch auction and bidding at or below the market clearing price (ie. the APY offered at deal launch) are next in line to invest in a deal on Cadence. If there are slots after rollover investments, these investors will gain access to investing in a note.
All remaining investors follow
Any investors who did not roll over their investment or participate in the Dutch auction can invest if there is room after the first two types of investors. So, if there are slots after rollover investors and Dutch auction participants have invested, anyone with an active Cadence account can then invest in the deal.
It’s worth noting that there are cases where rollover investors take up the entire deal size. In these cases, all remaining investors are not notified of the deal launch and lack of allocations. It’s also worth noting that rollover investors and Dutch auction participants can close the deal, which would leave no allotments to all other remaining investors on the platform. It is for this reason that we recommend participating in all auctions for deals of interest.
We’re working hard to bring more deals from more originators to the Cadence platform. When we launch new deals (and not rollovers), we’ll send notifications to all users at the same time. For now, make sure @withcadence.io is whitelisted in your inbox, and be on the lookout for the latest deal and auction notifications!
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