Distribution Alliance Mutual Fund Loans

Where applicable, the appropriate regulatory license is required to sell this product.

When you couple our experience as a market leader in third-party lending with the superior products offered by our mutual fund company alliances, the result is a winning combination that's hard to replicate – and even harder to beat.

The Distribution Alliance mutual fund loan line-up

Four distinct loan types are available to each distribution alliance program:

100% Loan:

B2B Bank finances 100% of the investment.

3 For 1 Loan:

B2B Bank lends up to three times the dollar amount pledged (in cash or in kind).

2 For 1 Loan:

B2B Bank lends up to two times the dollar amount pledged (in cash or in kind).

1 For 1 Loan:

B2B Bank matches the dollar amount pledged (in cash or in kind).

Loan Program Overview

Loan Details 100% 3 For 1 2 For 1 1 For 1
Loan amount $10,000 - $300,000
Call type Margin call and no margin call options
Monthly payment Interest Only or Principal & Interest payments
Loan-to-value (LTV) at approval 100% 75% 66.6% 50%
Margin warning (if applicable)


85% 75% 75%
Margin call (if applicable)


95% 85% 85%
Excess Collateral Release1

< 100%  

< 75% < 66.6% < 50%
Excess Collateral Release1 (GMWB2 segregated funds)

< 80%  

< 67.5% < 66.6% < 50%
Conversion to Principal & Interest payment3

LTV ≥ 125% 

LTV ≥ 100% LTV ≥ 100% LTV ≥ 100%
Proof of assets


Total Debt Service Ratio (TDSR) 40% TDSR will be calculated but will not solely determine credit decision.
Eligible fund collateral4 B2B Bank lends on a majority of available Canadian investment industry assets.
Net worth minimum

1 x loan amt
if ≤ $100,000

1.5 x loan amt
if > $100,000

2 x loan amt
if > $250,000

Not applicable Not applicable Not applicable
Credit history All obligations must be up-to-date and paid as agreed. No bankruptcies, collections or judgments.
Application submission Online and paper applications are welcome. Applications are typically reviewed within one business day.
Funding Funding typically occurs within one business day upon receipt and verification of original loan documentation.


1The LTV ratio of the loan must remain below the values shown after collateral is released. A credit bureau may be obtained prior to collateral release.

2GMWB funds can only be selected for pledge or purchase if the funds meet B2B Bank's collateral eligibility criteria and a Distribution Alliance agreement is in place with the life insurance company.

3Will occur once the LTV ratio is equal to or greater than 125% for 100% Loans or 100% for 3 For 1, 2 For 1 or 1 For 1 Loans. If after 3 months, the LTV ratios fall below 125% for 100% Loans and 100% for 3 For 1, 2 For 1 and 1 For 1 Loans, the borrower may request in writing to resume the Interest Only payments.

4Certain criteria apply, such as funds must be traded electronically, valued at least weekly and in Canadian dollars. Retail Venture Capital, Alternative Strategies and Specialty (including Principal Protected Notes) are not eligible as loan collateral.

This information is intended for financial intermediaries only.