Lucidity

Credit risk transfer
Built for your structure

Palisade structures and executes credit risk transfer solutions across both securitised and non-securitised formats. Each transaction is designed around the originator’s objectives, whether the priority is capital efficiency, targeted de-risking or loss protection.

Securitisation-Based

Significant Risk Transfer

A securitisation-based solution used to transfer a meaningful portion of portfolio credit risk, supporting capital efficiency and broader balance sheet management objectives. SRT can be structured in different forms depending on the transaction, but the core objective is to transfer risk in a way that is economically meaningful, analytically robust and aligned with the requirements for capital recognition.

  • Securitisation-based credit risk transfer on a defined portfolio
  • Structured to support regulatory capital recognition
  • Full lifecycle delivery across analytics, structuring, documentation and monitoring
Non-Securitised

Portfolio Credit Protection

Where securitisation is not the right fit, Palisade structures non-securitised portfolio credit protection through credit insurance, portfolio guarantees and other bespoke protection structures. These solutions are best suited to targeted portfolio risk management - including concentration management, selected sector or borrower exposure, loss mitigation and lending capacity support.

  • Non-securitised credit risk insurance
  • Suited to targeted de-risking, concentration management and loss protection
  • Structured with enforceability, claims clarity and CRM treatment in mind where applicable
How We Work

Our Delivery Model

From initial analysis through to ongoing oversight, Palisade manages each stage of the transaction with a structured and repeatable process, reducing friction at every step.

Advisory & Structuring

We work closely with originators from the outset, combining portfolio analysis with ongoing dialogue to understand objectives, constraints and priorities. We help determine the most appropriate solution, structuring protection that works for both the originator and the protection provider.

Committed Capacity

Palisade brings committed capacity to deploy in SRT trades and credit protection. Our advisory service is elevated to execution-ready implementation, reducing third parties required, costs and complexity.

Execution & Legal Coordination

Palisade coordinates the execution process from structuring through to close. Supporting negotiations, aligning counterparties and helping move documentation to completion with greater efficiency.

Ongoing Monitoring

After close, Palisade continues to oversee the transaction - managing claims mechanics and monitoring key aspects of portfolio and structural performance, throughout the life of the protection.

Lucidity Platform

Lucidity. Technology-enabled management for complex credit portfolios

Lucidity is our platform for end-to-end credit risk transfer. It is designed to bring the right information to the surface for decision-makers - from initial portfolio analysis and protection design through to execution and ongoing monitoring.

Rather than burying stakeholders in static reports, Lucidity gives banks and insurers a transparent view of the metrics, assumptions and portfolio characteristics that matter most to a transaction.

Loan tape to reference portfolio

Ingest portfolio data, analyse exposures at scale and identify the perimeter most suited to the transaction objective.

Clearer transaction design

Show how structure, attachment points and key assumptions affect pricing, protection and capital efficiency.

Decision support for senior stakeholders

Give management a simpler way to assess transaction parameters without working through long technical packs.

Monitoring after close

Track eligibility, portfolio drift, tranche utilisation and actual vs expected performance through the life of protection.

Shared transparency across stakeholders

Common analytical framework for banks and insurers, with outputs relevant to each audience's role in the transaction.

Secure environment

Designed for financial institutions — secure encryption, MFA and least-privilege access controls throughout.

One platform.
Two routes to risk transfer.

Lucidity SRT

Significant Risk Transfer

Significant Risk Transfer is a securitisation-based solution used to transfer a meaningful portion of portfolio credit risk, supporting regulatory capital relief and broader balance sheet management objectives. While SRT can be delivered through different securitisation forms, Palisade specialises in synthetic SRT transactions, structuring tranche-based solutions around the originator’s objectives and the requirements of the protection provider.

Palisade delivers the full lifecycle of SRT transactions: credit analytics, portfolio selection, tranche design, pricing, documentation and ongoing monitoring. We work under insurer delegated authority and use tailored documentation and repeatable processes to shorten timelines, reduce legal friction and give greater transparency, consistency and control.

Synthetic SRT Tranche Design Capital Relief Portfolio Selection Committed Capacity Ongoing Monitoring
Example Structure LOAN PORTFOLIO Structuring Senior Mezzanine First loss Fees Losses PROTECTION PROVIDER Funded & Unfunded Structures
Lucidity PCP

Portfolio Credit Protection

Where securitisation is not the right fit, Palisade structures non-securitised portfolio credit protection through credit insurance, portfolio guarantees and other bespoke protection structures. These solutions are well suited to targeted portfolio risk management: managing concentrations, supporting hold levels and lending capacity, protecting selected sectors or borrower groups, and mitigating loss volatility on defined portfolios. Where structured appropriately, they may also support capital efficiency through applicable Credit Risk Mitigation treatment.

Palisade focuses on what matters most - selecting the right perimeter, shaping protection around originator objectives and delivering terms that are enforceable and clear. We execute under delegated authority, deliver documentation, claims mechanics and ongoing monitoring so the protection is not only well structured at inception, but remains credible through the life of the transaction.

Credit Insurance Loss Mitigation Concentration Management Portfolio Resilience Claims Clarity CRM Treatment
Real Estate Retail Manufacturing Construction IT Concentration risk managed Credit risk transferred Retained exposure Protected portion
Speak To Us

Speak to Our Team

Whether you are exploring Significant Risk Transfer or Portfolio Credit Protection, Palisade offers solutions designed to support your objectives.