Welcome to GCLXchange
A platform for financial partners to participate in commercial lending opportunities.
Why Participations Through GCLXchange?
GCLXchange provides a simple, streamlined opportunity to diversify your portfolio and risk, as well as increase your profitability. By working collaboratively with other financial partners that understand the market and the industry, you can take advantage of opportunities that were not previously available.
There are many concerns about concentration risk in commercial loan portfolios, with concentration risk defined as a single exposure or group of exposures with the potential to produce losses large enough to threaten a financial institution’s health or ability to maintain its core operations.
Participation loans minimize concentration risk by allowing you to diversity into other geographic areas, industries, or business types.
Participation loans give you the opportunity to expand your portfolio significantly with solid, well-underwritten loans. Organic portfolio growth can be time consuming and expensive. Managing the portfolio with a combination of organic and participation loans can improve bottom line efficiencies.
With many components of the loan portfolio seeing modest returns and investments in excess liquidity at near record highs, expanding the profitability of your portfolio through participations could be an alternative for you. The opportunities beyond CRE can provide yields that benefit the bottom line and provide additional servicing opportunities. With access to commercial USDA loans, an improved yield makes the participation market attractive.