What is a Forward Flow?
A “forward flow” is a contractual obligation between two organizations to buy and sell a specific volume of debt, at a fixed price, over a predetermined period of time. In a stable marketplace both buyers and sellers benefit from negotiating forward flow agreements. Buyers can guarantee they will have the demand and sellers can guarantee they have the supply.
What are the Advantages of Forward Flows?
CMAX NDSE makes it easy for buyers and sellers to manage their forward flow agreements through NDSE. Debt Sellers submit their portfolio to their NDSE Business Development Representative who will evaluate and process the file for sale. When forward flow portfolios are listed on NDSE they can only be seen or purchased by the predetermined buyer of the portfolio. Debt buyers need only to log on to the system and make the purchase online. Each time a forward flow transaction is executed online, both the buyer and seller receive a Closing Statement and Bill of Sale.
To find out more information about how forward flow agreements can benefit you and your organization simply contact your NDSE Representative today or submit an inquiry through our Contact Us page.