"Structured finance" refers to a broad category of complex financial instruments offered to capital users with unique and sophisticated needs that can’t be met with standard financing methods. It’s typically used in large-scale projects or by entities that require customized capital solutions.
At its core, structured finance involves pooling financial assets (like loans, receivables, tax credits and royalties) and creating new securities backed by these assets. These securities are then sold to investors. The structures are carefully designed to manage risk and return, often involving tranches — different layers of risk/return profiles for different investors.
the rms model combines project leverage, tax strategies and specialized media industry expertise
Common structured finance products include: Asset-backed Securities, Mortgage-Backed Securities, Collateralized Debt Obligations, Collateralized Loan Obligations, Structured Notes, and Securitizations of tax credits or cash flows (like renewable energy ITCs or film royalties.)
In simple terms, structured finance is a way to turn predictable future cash flows into immediate capital while slicing a
the rms joint venture locks in solid upfront returns and minimizes risks*
* Illustrative Model:
- Risk Allocation: Risks are divided among investors depending on their risk appetite.
- Customization: Tailored solutions to meet specific financial goals or regulatory requirements.
- Asset-backed: Securely tied to pools of assets — like secured loans, renewable energy projects, and intellectual property.
- Legal Complexity: Typically involves legal structures like special purpose
RMS Utilizes an "Equity Swap" hybrid between rms, its energy subsidiary, and the developer
Equity swaps in renewable energy projects are strategic partnerships where investors provide capital in exchange for tax benefits and early cash flows, while project developers leverage the funding to build and operate the asset. Typically structured through a project-specific LLC, these agreements allocate the majority of initial financial and tax benefits — including investment tax credits and d
State based film incentives
State film incentives are financial programs offered by individual states to attract film and television productions. These incentives typically include tax credits, rebates, or grants that offset a portion of a production's local spending, such as hiring crew, renting equipment, or using in-state locations. Productions often choose their filming locations based heavily on the value of these incen