An update on the current situation from Sancus CEO, Andrew Whelan.
Dear colleagues and friends
We have entered an unprecedented period of global disruption, the likes of which have not been seen since World War II.
The uncertainty of the past few weeks surrounding COVID-19 continues and has reaffirmed to us all the importance of the well-being and safety of our families, work colleagues and communities.
It remains unclear as to the short and long term effects of our current situation on businesses, the economy and individuals but Sancus is treating the health and safety of its staff, clients and colleagues as a priority.
Our teams across all our jurisdictions are doing everything they can to minimise risk for staff and clients whilst remaining fully operational.
As a Group we already have practiced recovery plans in place for business disruption with a workforce fully equipped with remote access to enable working from home. We are confident that even if we are all required to work from home for a prolonged period we can function as normal and our high level of service shall not be disrupted.
We have also engaged with the professional community that we rely on to deliver loans to ensure they can continue to support our lending activity.
We have also taken the following additional steps:
- The option for employees living with elderly/family members with compromised immune systems to work from home;
- Restricted all unnecessary business travel, allowing travel only in circumstances that cannot be undertaken by electronic or other means;
- Restricted large business meetings and gatherings for all staff;
- Suspended all non-essential internal meetings until further notice;
- Suspended all physical client meetings unless absolutely necessary;
- Encouraged employees to host meetings via video or tele-conference where possible;
- Implemented self-isolation requirements in the event of ill or potentially exposed employees;
- Where necessary, staff will quarantine as per WHO guidance.
The Business
Until such time as normal market conditions return, our credit team are subjecting all loan applications to additional stress tests to ensure that if projects are delayed, the cost of servicing loans will not place undue burden on Borrowers, nor materially impair the credit quality of our loans.
The Sancus syndicated model
At a time when equity markets are in a state of flux, and the yield on 10 year gilts has become negligible, Sancus offers returns in excess of 7% on secured loans over property in a range of jurisdictions. We believe that the obvious attractions of this form of income/yield producing syndicated loan will appeal to an increasing proportion of investors, both institutional and private, who will welcome the positive risk-adjusted rate of return we offer on an alternative yield opportunity that carries lower risk and volatility than stocks and shares.
For Borrowers this means that we have reliable access to a wide and varied capital base to meet demands for new loans.
If you would like to talk to us about any of your concerns, please do not hesitate to contact your dedicated relationship manager or myself via email (preferably) or telephone.
The Sancus team and I hope that you, your families and friends remain in good health, and come through this difficult period unscathed.
Thank you, in anticipation of your continued support in these unprecedented times.
Kindest regards
Andrew Whelan,
CEO, The Sancus Group
