Structured Finance

Housing Finance Company [Edelweiss Group, Mumbai]| Year 2022 to Year 2025

Role context	Joined Nido Home Finance in FY’2022 and worked through FY’2025; led structured finance/securitization and co-lending initiatives.
Projects led	Built the structured finance vertical and co-lending vertical from scratch; Built team; managed corporate agreements, execution workflows, investor communication and rating agency interactions.
External validation	Transactions were rated by CRISIL [Subsidiary of S&P Global] and ICRA [Subsidiary of Moody’s Corporation].
Co-ordination with teams	Business, Treasury, Credit, Legal, Operations, technology, Rating agencies & investors.

Executive Summary

During FY’2022-FY’2025, my mandate at Nido Home Finance was to help build and scale the Structured Finance and Co-Lending verticals. The work combined portfolio analytics, rating agency interaction, investor communication, legal documentation, bank/non-bank partnership execution and treasury alignment.

The strategic value of the role was to move organization towards an asset-light funding model through Structured Finance & Co-lending [where the originating Housing Finance/ Non- Bank and participating bank jointly fund the credit book, enabling Housing Finance/Non-Bank to access ALM-matched funds while banks gain access to customer segments they cannot originate on their own].

The co-lending work therefore went beyond a simple corporate partnership. It required credit program design, bank partner alignment, legal agreement execution, data transfer workflows, document sharing and operational controls. It required in house loan management system’s integration with banks through an API-enabled platform supporting transfer of data and documents for secured loan products under agreed standard parameters.

Impact created

Structured Finance

Structured Finance became a core funding pillar for the organization, consistently contributing a significant share of the debt funds raised. The vertical accounted for approximately 55% in FY’2023, 50% in FY’2024 and 53% in FY’2025 of debt funds raised, demonstrating that structured finance was not a one-off funding tool but a recurring capital-markets channel. This helped diversify the liability profile beyond traditional borrowings, deepen engagement with institutional investors, and strengthen organization’s asset-light funding strategy. The consistency of contribution across financial years reflects the strength of the platform, the repeatability of execution, and the market confidence built through rated, structured finance transactions.

Co-lending

Co-lending became an important growth and capital-efficiency lever, with the number of accounts increasing from ‘zero’ in FY’2022 to approximately 200+ in FY’2024 to 1,200+ in FY’2025, reflecting nearly 6x growth in scale . The value of the co-lending book increased from CAD 20 million to CAD 60 million, demonstrating a 3x increase in partner-funded business. This growth was supported by banking partnerships, defined credit program parameters, legal agreement execution, and coordinated operating workflows across credit, treasury, operations and technology teams. A key enabler was technology integration, including data and document-sharing workflows with lending partners, which helped make co-lending more scalable, repeatable and governance-led. Overall, the initiative strengthened organization’s asset-light model by expanding origination capacity while improving capital diversification beyond traditional on-book borrowing.

Transaction footprint and ratings trail

The structured finance transactions converted the granular home loan and business loans portfolios into investor-ready pools supported by cash collateral, excess interest spread, over-collateralization and defined payout waterfalls. The execution involved working with CRISIL and ICRA for provisional ratings, final confirmations, reaffirmations and upgrades. This repeat rating trail demonstrated transaction execution capability and helped strengthen market confidence in company’s portfolio quality, servicing strength and funding platform. Below are some of the transactions with references.

CRISIL rated transactions [S&P Global Subsidiary]
S.No.	Transaction Name	First public rating	Latest public rating	Issuance rated amount [In CAD MM]	Outstanding amount [as per latest public rating] [In CAD MM]	Structure summary
1	HL Trust 10	Feb 15, 2022, Provisional Crisil AAA (SO).	Jun 17, 2025, Crisil AAA (SO), reaffirmed.	14.6	6.9	Par with EIS flowback; timely interest and monthly principal; cash collateral, and EIS.
2	HL Trust 11	Mar 24, 2022, Provisional Crisil AA (SO).	Sep 15, 2025, upgraded to Crisil AA (SO) from AA-(SO).	8.7	4.3	Par with monthly subordinated EIS flowback; timely interest and principal.
3	HL Trust 22	Sep 29, 2023, Provisional Crisil AAA (SO); final Dec 29, 2023.	Mar 2026 performance report shows Crisil AAA (SO), unchanged.	18.8	12.6	TITP-style Series A1
4	HL Trust 23	Oct 31, 2023, Provisional Crisil AAA (SO); final Apr 12, 2024.	Mar 2026 performance report shows Crisil AAA (SO), unchanged.	8.7	6.9	TITP-style Series A1
5	ML Trust 13	Jan 25, 2024, Provisional Crisil A (SO); final Apr 12, 2024.	Mar 2026 performance report shows Crisil A (SO), unchanged.	8.3	5.4	Par with EIS used for turbo-amortization; 95% purchase consideration.

ICRA Rated Transactions [ Moody’s Corporation Subsidiary]
S.No.	Transaction	First public rating	Latest public rating	Issuance rated amount [ CAD MM]	Outstanding amount -as per latest public rating [CAD MM]	Structure summary
6	ML Trust 5	May 17, 2022, provisional [ICRA]AAA(SO).	Jun 20, 2025, [ICRA]AAA(SO), reaffirmed.	34.8	16.9	Promised interest, principal expected monthly but promised on final maturity, with prepayment floor and EIS flowback.
7	HL Trust 16	Jun 20, 2022, provisional [ICRA]AAA(SO)	Sep 29, 2025, [ICRA]AAA(SO), reaffirmed.	10.7	7.5	90% billed-principal promised with 10% expected and EIS flowback.
8	HL Trust 12	Jul 21, 2022, [ICRA]AAA(SO)	Aug 19, 2025, [ICRA]AAA(SO), reaffirmed.	9.3	3.5	Promised interest plus billed-principal waterfall with EIS support.
9	HL Trust 17	Jul 14, 2022, provisional [ICRA]AAA(SO).	Sep 29, 2025, [ICRA]AAA(SO), reaffirmed.	8.3	6.3	90% billed-principal promised with 10% expected and EIS flowback.
10	HL Trust 25	Apr 24, 2024, provisional [ICRA]AAA(SO).	Jun 20, 2025, [ICRA]AAA(SO), reaffirmed.	7.5	5.2	Monthly promised interest and principal waterfall with EIS flowback.

Key Learnings from the Transactions

Structure design matters: The combination of cash collateral, excess interest spread, principal over collateralisation, payout priority and turbo amortization determines investor comfort and rating stability.
Pool quality is the base of the rating: Seasoning, collection ratio, LTV, borrower concentration, geographic distribution, current status and past delinquencies are central to surveillance outcomes.
Documentation discipline is non-negotiable: For provisional-to-final conversion, executed documents must match the structure assessed by the rating agency.
Investor communication differentiates the issuer: Transparent reporting, timely surveillance data and clear explanations of credit performance support repeat investor appetite.
Co-lending is operationally complex: Scaling requires technology, data standards, program criteria, underwriting alignment and strong bank partner governance

References of rated instruments