We as The Strategic Think Tank on Capital Investment, Management, Trade & Development serve High Net Worth Individuals & Private Investors, Executives & Managers, Institutional Investors, Company & Project Owners, and Foundation & Funding Groups who are utilizing our global banking expertise for Investment & Loan Funding, Project Finance and individual Investments in direct cooperation with European prime banks prime banks in Europe, Asia and Northern America.
We are Facilitators of Investment, Finance and Trading Programs in direct Cooperation with AAA - rated European Prime Banks, Placement Program Managers and Providers within the international banking system, preferably in Swiss, Germany and Great Britain. Banking Contracts are provided to High Net Worth Clients, whose investments are under their own account name, guaranteed, insured and safely guarded and always under their control during the period contracted.
We are providing World Capital Market & Financial Management Research, Capital Market Services as part of Political & Economic Risk Management, Financial Markets Research on Instruments and Institutions, International Capital Movement and Monetary Cooperation, evaluating Economic Performance & Investment Potential towards competitive and yielding Placements on World Capital Markets.
Our services incorporate Investment Banking, Private Banking, Personal Banking & Wealth Management, Asset & Financial Management, Investment Funding, Project Finance & Loan Funding through the Facilitation of Specialist Banking Contracts for entering the bank secured Investment Programs conducted by European Prime Banks or Money Center Banks preferably in Swiss, Germany and Great Britain in close Cooperation with Placement Program Managers and Providers
- To provide guidance and assistance to principals as private clients and high-net-worth individuals, corporations & institutional investors, banks & funding groups, trusts & foundations, executives & managers, and entrepreneurs through professional excellence according to international banking standards.
- To explore innovative financial solutions and facilitate global investment potential for wealth creation and life quality enhancement by providing global reach and connectivity between capital markets and knowledge driven Investors profiteering from yielding investments.
For entering Investment Programs, please start your request, and in order to meet the requirements, anticipate our Terms & Conditions, which you find as link below or via INDEX.
Off-Balance Sheet Activities
The issue of bank credit and bank guarantee instruments has been a part of daily banking practice for many decades. The best known of these instruments is the commercial letter of credit, which is widely used, in foreign trade. The commercial letter of credit is a guarantee issued by the buyer’s bank to the seller’s bank. It ensures that if the buyer fails to pay or perform under the terms of the transaction, the buyer’s bank will assume the liability and pay the seller. Because these instruments are considered contingent liabilities of the bank (based on the potential default of the applicant), they are accounted for “off-balance sheet”.
A glimpse at the current magnitude of off-balance sheet banking was given in a recent press statement in which Deutsche Bank reported its off-balance sheet business at US$800 Billion in 1993 or roughly 2.4 times its on-balance sheet business. For Swiss and American banks, off-balance sheet operations are 7 to 30 times larger than on balance sheet activities.1
Since the 1930’s and with dramatically increasing frequency during the last fifteen years, the largest western European banks (top European 25) have extended the use of off-balance sheet transactions to include issue and sale of various guaranteed senior bank obligations or credit instruments. These include Medium Term Notes (MTN) and one-year, zero coupon, standby letters of credit or (SLC). The medium term debentures are usually ten year notes carrying a 7.5%+ - coupon. These instruments are backed by the full faith and credit of the issuing bank.
Several factors have promoted the growth of off-balance sheet banking activities. First they provide a substantial source of additional capital for the banks. The banks augment their capital by issuing notes and are then able to borrow several times (5 to 10 times depending on the multiplier ratio of the country of domicile) from their central bank at lower interest rates. The higher interest paid on the notes is offset by the low interest rate on the much larger central bank borrowing. Second, fee-based issuance of debentures for third parties provides an increasing source of profits to the banks. In 1993, top German and Swiss banks reported record profits from off-balance sheet business, including fee-based trading which now represents their largest source of earnings.
The foregoing memorandum is for informational purposes only and should not be construed as an offer to sell nor a solicitation to buy a Bank Credit Instrument trading program nor an offer to sell nor a solicitation to purchase a Bank Credit Instrument. It is highly recommended that the readers rely solely on their own judgment and experience as they utilize any of the ideas contained herein.
This memorandum was designed to provide accurate and authoritative information in regard to the subject matter covered. It is presented with the understanding that the author is not engaged in rendering legal, accounting or other professional services. If legal advice or other professional assistance is required the services of a competent professional person should be sought. The above information is given in good faith and has been derived form different sources believed to be accurate and reliable. This page is for information purposes only and does not constitute an offer, or an invitation to receive offers to purchase or sell any security or other financial instrument or to engage in any form of business or dealing in any jurisdiction.