Adam Fountain – Get ahead.
Adam Hooper – when you raise a $200 million fund, you have got $200 million of capability, where you’re saying, if you are taking on leverage, in the event that you raise a $200 million investment, you could lever that to $400 million of capability.
Adam Fountain – Right. And in which the nagging issue may appear is, let’s assume you make a million buck loan. You’ve raised $500,000 from investors, and after that you borrowed $500,000 from the bank to create that loan compared to that builder or designer. Now, if that loans goes laterally you have to take that property back, the bank is going to want its money on you, and. And today you’ve got, that you borrowed from if it’s a construction loan, you have a half finished project, and you have to give $500,000 back to the bank. To ensure that can eat into any kind of equity pillow pretty quickly. While in an investment like ours, we’re financing at a 65% loan to value ratio, and in case we simply simply take a house straight right straight back, the theory is that, we’re no greater than 65% of this initial assessment value. Therefore we preserve that equity pillow. We don’t owe anyone such a thing regarding the loans we make. Read More