Commercial Conduit Lenders
Conduit lenders are relatively new to the
lending industry.
These conglomerates attempt to pool assets from different types and classes
and sell them to other lenders or investors, thus creating an intermediary to
achieve massive funding based on the equity in an entire estate or large group of
Hedging in the secondary market helps to mitigate the risk assumed by these lenders, thus
driving down the rates and making conduit lending a competitive alternative.