Securities-based Loans
Portfolio CreditLine- Services
- Lending Services
- Securities-based Loans: Express CreditLine
Lending Services
Securities-based Loans: Express CreditLinesm
Strategy: Borrow using eligble securities as collateral
When you establish an Express CreditLine account, using your eligible securities as collateral, funds are available when you need them.
- NO fees or other closing costs
- Borrow up to 65% most of your eligible stocks and mutual funds
- Borrow up to 75% to 95% most of your eligible fixed income securities
- Low interest rates
- Easy access to funds when you need them
- Flexible repayment terms
Why don't I just pay cash?
By paying cash, you may forego the opportunity to invest that cash and earn returns that are potentially higher than your borrowing costs.
Why don't I just sell securities?
As anyone with a portfolio of securities has experienced, staying invested when stocks are on the rise means participating in potential future earnings and growth. And while securities may decline in value as well as go up, you should consider carefully whether holding them based on a longer timeline will increase the likelihood that the stock value will improve. Also, by not selling, you may defer realization of any gains on your securities and any related current tax liability on those gains.
Please note: the proceeds from an Express CreditLine loan cannot be used to purchase, sell or carry securities or repay debt used for these purposes. Assets in qualified retirement plans are not eligible. Speak to your Financial Advisor.
Start the process now
When used wisely, borrowing can be beneficial to your total wealth management.
Investments held at Smith Barney are not FDIC insured, not bank guaranteed and may fluctuate in value including loss of principal.
Express CreditLine is a service mark of Citigroup Global Markets Inc. Borrowing against securities may not be suitable for everyone. If the securities used as collateral decline in market value below maintenance levels, the client may be required to pay down the loan or deposit additional securities as collateral. If the client cannot do so, all or a portion of the collateral may be liquidated and a potentially taxable event may occur. A payment default may result in the loss of the pledged securities.
For more information, please contact your Financial Advisor.