Cadence, a leader in the digital securitization of alternative investments, is partnering with Aspiria to expand its offering of investment products.
Cadence is pleased to announce its strategic partnership with Aspiria. Cadence continues to work with only the highest-quality, technology-driven originators in the industry. Through establishing a robust network of top tier originators, Cadence can continue to offer accredited investors unique and compelling investment products.
Aspiria is a fast-growing, data-driven provider of short term financing for small and medium-sized businesses (SMBs) across Mexico, many of which are underserved by traditional financial institutions. Driven by the mission to narrow the current $45 billion credit gap for SMBs in Mexico and help drive the nation’s overall productive output, Aspiria has originated over 1,300 loans for over 300 SMBs over the last four years.
The data-driven approach Aspiria takes to assess potential clients’ credit risk has been a key driver in its ability to extend debt financing efficiently to traditionally un-banked SMBs in Mexico. Aspiria’s proprietary algorithms based on predictive analytics and data science take into account eighty different variables and have been continuously refined since Aspiria began its operations in 2015. As a result of its technology-enabled platform, Aspiria has been able to deliver working capital financing to SMBs within as little as 48 hours from application to funding, all while upholding strict underwriting standards resulting in low historical default rates.
Prath Reddy, Head of Capital Markets at Cadence, believes that the new partnership is a perfect alignment of Cadence’s intent to work with best-in-class originators that are serving under-resourced populations throughout the world. “This partnership with Aspiria marks our international debut as we look to expand our offerings to investors seeking high quality emerging market private credit exposure with direct social impact,” said Prath. “Doing well by doing good is one of our core values and we’re excited to work with an originator like Aspiria that shares the same vision.”
Aspiria continues to take a thoughtful approach to expansion and has been successfully diversifying its portfolio year-over-year. In response to the $130 billion of unencumbered value held in real estate across the country, it has diversified its portfolio by launching new products, such as “Smart Mortgage.” This product allows SMB owners the ability to unlock the equity in their homes and other real estate holdings by collateralizing them for secured term loan financing with better rates. This pursuit of innovation through technology and creative product offerings has attracted a fast-growing SMB customer base, primarily in the construction, healthcare, and retail industries, across more than 75 cities throughout Mexico.
Cadence is excited to work with Aspiria to support their growth ambitions and continue building an extensive network around its alternative investment platform.