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Portfolio

What CREB invests in and how risk is managed

What's in the portfolio

What is included in the CREB portfolio?

The portfolio targets about 55% in first-lien real estate bridge loans, 15% in mortgage-backed securities, 10% in institutional real estate funds, 10% in U.S. Treasury bills and 10% in cash reserves. Allocations vary over time.

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What does senior secured mean?

A senior secured loan is first in line to be repaid and is backed by collateral. CREB's loans hold a first lien on the property, so if a borrower defaults, the loan can be repaid from the property before other creditors.

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Diversification and risk

How is the portfolio diversified?

CREB spreads investments across loans, mortgage-backed securities, funds, Treasuries and cash, and spreads loans across property types, borrowers and U.S. regions, so no single loan or market drives results.

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How does CREB manage risk?

CREB manages risk by lending only with a first lien, at conservative loan-to-value ratios, diversifying across properties and regions, holding Treasury and cash reserves, and monitoring and stress-testing the portfolio continuously.

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How does CREB protect investor capital?

CREB focuses on preserving capital through short-term, first-lien real estate loans at conservative loan-to-value ratios, diversification, and reserves in U.S. Treasuries and cash. These reduce risk but don't guarantee your principal.

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