Fund finance borrowing base monitoring that re-tests the fund's certificate as of the loan date, not the date the fund reported it
Every borrowing base re-tested within a day, breaches caught before the draw.
See one case, screen by screen ↓It is the lender's check that a fund's borrowing base still supports its loans: each eligible investor's uncalled capital times its advance rate, after concentration limits, tested against the credit agreement. Fund Finance Borrowing Base Monitoring rebuilds every certificate from the investor list, the capital-call receipts, today's ratings and transfers and the credit agreement — as of the loan date, not the certificate date.
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Banks lend to funds through subscription lines, NAV facilities and back-leverage lines, and each fund reports its own borrowing base: a certificate with its investor list, the advance rate for each investor class and the concentration limits it applied — in its own spreadsheet. The certificate is true on its as-of date. The notice of borrowing arrives days later.
In between, investors pay a capital call late, get downgraded below the Included Investor floor, or sell their interests to buyers the bank has not approved. None of it shows on the last certificate. The collateral analyst rebuilds a spreadsheet for every fund's format and re-reads every credit agreement's definitions — and if the loan funds past the true base, the facility is in a borrowing base deficiency that the fund must repay.
Estimated hours for one subscription line certificate and loan request, by hand and with the solution.
Seven specialist agents re-test every borrowing base as of the loan date; the analyst confirms and the credit officer approves.
Halvard Credit Opportunities Fund IV sends certificate 21, as of 30 Sep, with Notice of Borrowing 27: $42,000,000 to fund on Thu 15 Oct against a $400,000,000 subscription facility. Here is what happens next, screen by screen, in the working solution.
Every investor behind the facility is a tile, sized by its uncalled commitment and coloured by how it counts: Included at 90%, Designated at 65%, not counted. On the fund's figures the borrowing base is $336,702,000, loans outstanding $281,500,000, and $55,202,000 is available — the $42,000,000 loan fits with $13,202,000 to spare. Three reports have arrived since the certificate, none applied yet.
“Certificate 21 is true on 30 Sep. The loan funds on Thu 15 Oct — test it as of today.”
The pledged account shows Marlowe County Employees' Retirement System has not paid its $8,000,000 of Capital Call 11, now 12 business days late. That is an exclusion event under §1.01, so its $17.0M of uncalled capital greys out on the map: −$15,300,000. Availability falls to $39,902,000, and the loan is short by $2,098,000.
Tamsin Ridge sold $25M of its commitment to Corvane Secondary Partners II, which has no investor letter yet: −$3,825,000. Aldergate Life & Annuity was cut from A- to BBB, so it moves into the Designated group at 65% and is capped at 5%: −$7,602,400. The Designated border turns amber at 29.0% of its 30% cap. Re-tested, the base is $309,974,600 and $28,474,600 is available.
Notice of Borrowing 27 · $42,000,000 · short by $13,525,400
Priya clicks Aldergate's tile: rating A- struck through to BBB, $22.1M uncalled, $18.9M counted, $12.29M in the base, and $3,196,000 disregarded above the 5% limit. Its capital-call history sits beside it, and the credit agreement's own words are quoted, with links to the clause, the rating notice and the full record.
“…listed on Schedule 1.01(b) … for any single Designated Investor, 5%; for all Designated Investors together, 30%…”
The facility view shows the run step by step: certificate 21 and the notice read, the credit agreement applied, Capital Call 11 matched to the pledged account, 46 investors checked, the base recomputed and the decision drafted. Each change since the certificate carries its amount, its sources and what cures it — Marlowe when the money lands and Helen Marsh reinstates it; Aldergate not curable; Corvane once its investor letter and KYC are approved.
Finished in 50 s · 6 agents · 46 investors
Included Investor, Designated Investor, advance rates of 90% and 65%, concentration limits of 15%, 5% and 30%, exclusion events, transfers of interests under §5.12, borrowing base deficiency under §2.08 and availability under §2.01(b) — each with today's value. Open any term to read the clause in the credit agreement with the passage highlighted.
“Read by the facility terms reader · every re-test cites this passage”
Halvard's controller, Mark Iwata, wrote that Marlowe's wire should go on Wednesday. Priya previews it: Marlowe's tile turns green again, the base rises to $325,827,100 and $44,327,100 is available — the full $42,000,000 fits with $2,327,100 to spare. Nothing changes until the money is in the pledged account and the credit officer reinstates Marlowe.
The draw and watch recommender lays it out from the certificate down: fund $28,474,600 on Thursday; $13,525,400 waits for Marlowe's payment. Priya confirms with the meaning of her signature — “Re-tested — fund the availability” — and her password. The loan is above her $25,000,000 limit, so it goes to Helen Marsh.
“Your signature, the time, the borrowing base and every source are written to the audit trail and cannot be changed.”
Helen approves on her phone. The notice to Sofia Lindqvist, Halvard's CFO, goes out with the approval: the re-tested base, the three reasons with their sources, the $28,474,600 that funds on Thursday and what releases the rest. Funding the full $42.0M would have needed her waiver, with a reason.
“Approved. $28,474,600 funds on Thu 15 Oct. The rest waits for Marlowe's money in the pledged account — checked every hour.”
The facility watch report for the fund finance credit committee lists 5 of 16 facilities on watch: Halvard IV re-tested, Ardent II's LTV at 21.8% against a 22.5% draw-stop, Stonebay II's software loans at 27.4% of the pool against a 25% limit, Northfield VI's certificate 3 business days late, and Oriel III maturing on 23 Nov. Every change to the book this week is there, with the reason.
“Drafted by the watch recommender · sent only when you press Send”
The same loan request, seen by the four people at the bank who carry it — what their week looked like, and what it looks like now.
Seven specialist agents re-test every borrowing base as of the loan date; the analyst confirms and the credit officer approves.
Reads each fund's borrowing base certificate, investor list and notice of borrowing in whatever format the fund uses, and recomputes the fund's arithmetic.
Turns each credit agreement into the rules the re-test applies: eligibility, advance rates, concentration limits, exclusion events, transfers and reporting.
Matches each capital call notice to the receipts in the pledged collateral account and counts business days late per investor.
Checks every investor each morning against today's ratings, transfers, sanctions lists, side letters, KYC and the facility's schedules.
Recomputes the borrowing base, concentration limits and availability as of the loan date, and reconciles them line by line with the fund's certificate.
Reads quarterly valuations for NAV facilities and monthly loan tapes for back-leverage lines; runs LTV against draw-stop, sweep and default levels with 10% and 20% stresses, and eligibility and concentration tests on each tape.
Turns the re-test into a loan recommendation with its conditions, drafts the notice to the fund and writes the weekly watch report for the credit committee.
Confirms; credit officer approves above $25M. The agents propose; a named person decides.
Ask about any facility, investor, test or term in plain words — or tell it what to draft. Every answer points back to its source.
Why is the borrowing base $26.7 million below Halvard's certificate?
The certificate was right on 30 Sep; three things changed after it. Marlowe County has not paid Capital Call 11 — 12 business days late, an exclusion event: $15,300,000 out. Aldergate was cut to BBB on 2 Oct, now Designated at 65% and capped at 5%: $7,602,400. Half of Tamsin Ridge was sold to Corvane, which has no investor letter yet: $3,825,000. Re-tested, the base is $309,974,600 and $28,474,600 is available for the $42.0M loan.
Which investors changed since the last certificate?
Four of 46: Marlowe County Retirement System, excluded from 9 Oct; Aldergate Life & Annuity, A- to BBB — Included to Designated; Tamsin Ridge Endowment, $50M to $25M of commitment; and Corvane Secondary Partners II, new, not counted until approved. The other 42 are unchanged.
What if Marlowe pays its capital call on Wednesday?
Then Marlowe can be reinstated with Helen Marsh's approval. Its $17,000,000 of uncalled capital counts again at 90%, the base becomes $325,827,100 and $44,327,100 is available — enough for the full $42.0M. The capital call tracker re-tests the hour the money lands.
Draft the notice to Halvard's CFO
Drafted for Sofia Lindqvist, copying Mark Iwata and Tom Castellano. It gives the re-tested base of $309,974,600, the three reasons with their sources, the $28,474,600 that funds on Thursday and what releases the other $13,525,400. It is sent only when the loan is approved.
13 screens from the working solution, on its sample data. Pick one to see it large.
Thresholds, warnings and approvers are settings — versioned and on the audit trail.
| Setting | Default | Choose from |
|---|---|---|
| Target time to re-test | 1 business day | Same day · 1 business day · 2 business days |
| Headroom warning | 10% of the borrowing base | 5% to 25%, in steps of 5 points |
| Ratings watched, every morning at 06:30 | All three rating scales | All three rating scales · Issuer ratings only |
| Warn on a late capital call | 3 business days | 1 · 3 · 5 business days |
| LTV early warning, below the draw-stop | 2.5 points | 1 · 2.5 · 5 points |
| Valuation haircut for the stress | 10% and 20% | 5% and 10% · 10% and 20% · 15% and 30% |
| Analyst approves loans up to | $25,000,000 | $10,000,000 · $25,000,000 · $50,000,000 |
| Credit officer for larger loans, waivers and reinstatements | Helen Marsh | Helen Marsh · Daniel Okafor |
Every figure is labelled: a target the solution is built to, an estimate, a typical published result, or a proven one.
“demo” = seen in the working solution, on its sample facility data · “target” = the design goal, measured in the live solution · “estimated” = our estimate · “typical” = published figures (FDIC, bank lending to nondepository financial institutions — 21.9% a year, 2010–2024; Haynes Boone 2026 fund finance survey — most respondents put the market at $1.25–1.75 trillion and say subscription lines are over two-thirds of it). People, banks, funds and investors named on this page are fictional — characters and sample data in the working solution.
It is the lender's check that a fund's borrowing base still supports its loans: each eligible investor's uncalled capital times its advance rate, after concentration limits, tested against the credit agreement. Fund Finance Borrowing Base Monitoring rebuilds every certificate from the investor list, the capital-call receipts, today's ratings and transfers and the credit agreement — as of the loan date, not the certificate date.
The capital call tracker matches every capital call to the receipts in the pledged collateral account and counts business days late per investor, using the facility's own day count. It warns the analyst at the bank's early-warning day — 3 business days by default — and flags the exclusion event on the facility's own day.
Yes. The investor eligibility checker reads ratings every morning at 06:30 and checks transfers, sanctions, side letters and KYC against each facility's own definitions. A transferee counts only after its investor letter and KYC are approved, and each loan's purpose is checked against every investor's excuse rights.
Yes. For NAV facilities it reads the valuation report, compares every mark with the prior quarter and computes LTV against the draw-stop, sweep and default levels with 10% and 20% stresses. For back-leverage lines it applies eligibility and concentration limits to each loan tape.
No. The agents never approve or move money, change a reported figure or a manager's mark, contact investors or add an investor to a schedule. The analyst confirms every re-test and approves loans up to her limit; the credit officer approves larger loans, waivers and reinstatements, and the notice to the fund goes out only on approval.
Yes. The target time to re-test, the headroom warning, which rating scales are watched, the late-call warning, the LTV early warning, the stress haircuts and the approval limits are all settings, versioned and on the audit trail.
A weekly facility watch report: the facilities on watch and why — headroom, late reporting, LTV, concentrations and maturities — and every change to the book's borrowing bases with its reason. It is drafted by the agents and sent only when someone presses Send.
The Agentic Solution Engine builds and deploys it from your requirements — your credit agreements, your certificate formats and your fund finance credit policy — and it goes live once every quality gate has passed. We will walk you through it on a sample of your own certificates first.
First-pass screen in minutes, not half a day, every deal read.
1-min demoPrivate Credit Portfolio MonitoringStressed loans flagged a quarter or more before non-accrual.
1-min demoPrivate Credit ValuationDocumented support for every mark, ready for committee and auditor.
1-min demoWe'll re-test a sample of your own borrowing base certificates against their credit agreements.