In an effort to streamline the naming conventions of our offerings, Cadence will begin using a more systematic naming structure that is simultaneously more transparent, informative and relevant for investors.
These changes will affect deals with a close date of January 1st, 2021 and beyond, with each new deal conforming to this new naming structure. Deals with a close date prior to 2021 will not be impacted. You’ll see the new naming convention reflected everywhere you usually see a deal name, including on the opportunities and deal page, as well as on your portfolio page and future statements.
To get a better sense of what the new naming structure will look like, we’ve included a before and after example using Cherry, one of Cadence’s originators.
Old naming structure:
Medium Term Installment Lending 15-I
New naming structure:
CHY Installment Lending Sr. 2021-1
Let’s break down all the components of the new name:
CHY is the three-letter ticker name for the originator of the offering. Previously, the originator wasn’t part of the deal name, but the new structure now provides this important piece of information at a glance.
In this instance, CHY represents Cherry. See below for a current list of originator tickers.
|Pulse Medical Finance||PMF|
|The Smarter Merchant||TSM|
|Wall Street Funding||WSF|
Installment Lending denotes the type of assets this offering contains. This component remains largely unchanged from the previous name structure. Other examples of asset classes may include App Financing, Crypto-Backed Loans, Consumer Loans, and SMB Financing, just to name a few.
Sr. indicates the seniority level of the note, denoted by either Sr. (Senior) or Jr. (Junior). We wanted to highlight the seniority level of every note, as it’s an important distinction when performing your own due diligence on these offerings.
2021 is the year when this offering closed or will close. The year is tied to the note number below, and when combined, the two offer a unique identifier for the originator’s offering.
5. Note number
1 corresponds to the number of notes issued for the originator in the designated year. In the example above, “2021-1” indicates this is the first note closing for Cherry in 2021. If the number was instead 2021-3, it would indicate it’s the third note issued in 2021 for Cherry. This number will reset to 1 at the start of every year.
It’s important to note that the new naming structure is not intended to replace a proper review of the deal page and offering documents. We believe, however, that it is a more informative first impression. Transparency remains at the core of who we are, and we believe this updated structure is yet another step in that direction.
If you have any questions, do not hesitate to reach out to us.