## Executive Summary Money Protects Capital Limited (MPCL) offers a **secured, underlying property-backed portfolio facility** structured as a yearly rollover credit line for partner banks and financial institutions. Licensed by the DFSA (Category 3C, License CL7741) and headquartered in the DIFC, Dubai, MPCL provides an institutional-grade mechanism to deploy capital against UAE property assets with full regulatory oversight. ## The Opportunity The UAE real estate lending market exceeds **AED 432 billion** in outstanding exposure. With NPL ratios trending upward (~7.9%), banks face mounting pressure to manage distressed mortgage portfolios while maintaining regulatory capital ratios. MPCL's facility bridges the gap between underperforming mortgage books and capital relief — without the bank taking a haircut or triggering forced sales. ## Facility Structure ### Yearly Rollover Credit Line - **Tenor**: 1-year facility, renewable annually upon Credit Committee review. - **Security**: Underlying UAE property portfolio with verified DLD title deeds. - **LTV**: Up to 80% of assessed market value. - **Pricing**: 4–8% per annum, tiered by portfolio risk profile. - **Capital Treatment**: Structured as a repurchase agreement (Repo) under DFSA guidelines, eligible for favourable risk-weighting. ### How It Works 1. **Portfolio Assessment**: MPCL evaluates the bank's mortgage portfolio — asset quality, LTV ratios, borrower profiles, and geographic concentration. 2. **Settlement at Discount**: MPCL negotiates a bulk settlement discount on outstanding mortgages, capturing the spread as revenue. 3. **Co-Ownership Registration**: Properties are registered under a structured co-ownership arrangement at the DLD, with full lien rights for both parties. 4. **Annual Rollover**: At each yearly review, the facility either rolls over at adjusted terms or the bank exits with full principal returned. 5. **Credit Line Availability**: Banks can draw against the facility throughout the year for additional portfolio acquisitions. ## Risk Management Framework ### Collateral Protection - All underlying properties are UAE freehold with verified DLD title. - Independent valuation by RICS-accredited firms at inception and annually. - Minimum 20% equity cushion at all times. ### Regulatory Compliance - DFSA Category 3C license with full prudential reporting. - Basel III-compliant capital treatment. - Quarterly portfolio reports to partner banks. ### Counterparty Risk - MPCL maintains segregated client asset accounts. - Independent custodian for title deeds. - Professional indemnity insurance coverage. ## Market Positioning ### Target Partners - UAE national banks with mortgage portfolios exceeding AED 5 billion. - International banks with DIFC/ADGM branches holding UAE real estate exposure. - Islamic banks seeking Shariah-compliant portfolio solutions (MPCL can structure via commodity Murabaha). ### Competitive Advantages - **DFSA License**: Full regulatory standing — no grey-area structures. - **Zero Cost to Underlying Borrower**: All costs absorbed within the facility structure. - **Clean Credit Record**: Mortgages remain classified as performing throughout. - **Speed**: Portfolio assessment and initial drawdown within 4–6 weeks. ## Financial Projections (Illustrative) | Metric | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |--------|--------|--------|--------|--------|--------| | Portfolio Size (AED) | 240M | 480M | 720M | 960M | 1.2B | | Facility Revenue (AED) | 14.4M | 28.8M | 43.2M | 57.6M | 72.0M | | Bank Partner Count | 2 | 4 | 6 | 8 | 10 | | Average Portfolio Yield | 6.0% | 6.0% | 6.0% | 6.0% | 6.0% | *Figures are illustrative and subject to Credit Committee approval. Market conditions may affect actual returns.* ## Partnership Process 1. **Initial Meeting**: MPCL's structured finance team presents the facility framework. 2. **NDA & Term Sheet**: Confidentiality agreement and indicative terms signed. 3. **Portfolio Due Diligence**: 2–3 week review of the proposed mortgage portfolio. 4. **Credit Committee Approval**: Dual MPCL committee sign-off. 5. **Legal Documentation**: DIFC-law governed facility agreement with DLD registration. 6. **First Drawdown**: Funds deployed within 1 week of documentation completion. ## Regulatory Disclosures Money Protects Capital Limited is regulated by the Dubai Financial Services Authority (DFSA) under Category 3C, License CL7741. Registered address: P5-10 Park Tower A, Dubai International Financial Centre (DIFC), Dubai, UAE. This document is for professional clients only and does not constitute an offer to retail investors. All figures are illustrative. Past performance and projections are not guarantees of future results. Subject to MPCL Credit Committee approval and prevailing regulatory requirements. --- **Contact**: structured.finance@moneyprotects.com | +971 4 333 0181 | moneyprotects.com