The Power of Reinvesting

Reinvesting earnings is a powerful tool that can help investors grow their wealth, thanks to a phenomenon called compounding. Warren Buffett once said: “My wealth has come from a combination of living in America, some lucky genes, and compound interest.”  What is compounding, and why is it so important to investors?  Well, we’re going to… Read more »


The Earnings Cycle

in ar·rears /əˈrirz/ Interest earned in one month is paid out during the following month. Example : You transfer money to AlphaFlow on February 19th and Alphaflow receives the funds on February 22nd. AlphaFlow has you fully invested in 75 loans on March 1st. You begin accruing daily interest on those loans on March 1st,… Read more »


Originator Underwriting

Before we’ll purchase any loans from an originator, we do a due diligence review of the originator’s origination and asset management processes.  This is critical for us to understand, as by taking on a loan or a fractional loan from an originator, we’re not just taking on the risk of the borrower not repaying. We… Read more »


Underwriting Overview

This is meant to be a quick introduction to how we here at AlphaFlow think about underwriting loans and how we invest.  As part of our process, we look at 50+ factors when analyzing each loan.  Our stringent underwriting process causes us to reject over 90% of the loans we look at.  We also look… Read more »


How Defaults Work

One of the risks of any debt investment is the chance that the loan goes into ‘Default’, where the borrower is no longer able to pay interest on the loan or repay what they’ve taken out (the principal).  When this happens, lenders have different options for recovering their investment, depending on the nature of the… Read more »