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Asset-Based Finance

Real Assets. Real Cash Flow. Real Control.

Origination-Led, Operationally Driven

Overview Our Approach The ABF Opportunity Insights FAQ

What is Asset-Based Finance?

Asset-Based Finance (ABF) is not new to Rithm – it's foundational to our platform. With decades of experience across structured credit and real asset markets1, we have built the infrastructure to originate, source, structure and actively manage investments backed by contractual cash flows.

Asset-Based Finance is secured lending backed by identifiable financial, real or commercial assets that generate contractual cash flow or possess marketable value. Rather than relying on enterprise value or EBITDA, ABF is underwritten to specific collateral – with structural protections and defined recovery mechanisms built in at the asset level. It is one of the largest and longest-standing segments of the credit markets, with an addressable market estimated at over $30 trillion2.

Michael Nierenberg headshot

"Everybody has capital, everybody has a balance sheet. What everybody doesn't have is the operational infrastructure that helps us create the assets we want — and manage them."

— Michael Nierenberg, CEO, President & Chairman

The Operator Advantage

Most ABF managers deploy capital and rely on third parties to source and manage what they own. Rithm is different. Through Newrez and Genesis Capital, we understand how millions of Americans experience their mortgages and loans, giving us a real-time understanding of consumer credit behavior that most managers are modeling from the outside. That visibility, combined with deep expertise in structuring, securitization and active asset management, is what powers our platform across the full ABF investment lifecycle.

$63bn+
total securitizations3

#5
US Mortgage Originator4

#3
US Mortgage Servicer4

CTA

Our Approach

Demonstrated Market Credibility

A successful track record of structuring, pricing and managing ABF exposures across residential, commercial, consumer and specialty finance.

Proven Operational Expertise

Direct origination through Newrez and Genesis Capital provides aggregate insight into origination quality and borrower performance at scale, informing how we source, underwrite and manage ABF investments across the platform.

Innovators in Structuring

Deep experience in asset-liability management and capital structure optimization, across public securitization markets and bilateral negotiated transactions, gives us the structuring flexibility to execute through varying market conditions.

Industry Recognized Team

Senior leadership averaging over 30 years of investment experience across the credit and real asset markets1.

The ABF Opportunity5

01

The Case for Diversification Within Credit

As institutional credit allocations broaden beyond corporate direct lending, investors are increasingly seeking cash-flowing, collateral-backed assets that behave differently across market cycles.

02

A New Wave of Origination Opportunities

The ongoing buildout of infrastructure across energy, manufacturing and the real economy is generating asset-based financing needs in sectors that have only recently emerged at scale – meaningfully expanding the ABF opportunity set.

03

Complexity Rewards Specialists

ABF is operationally complex, spanning origination, servicing, structuring and active asset management. Managers with direct involvement in how assets are created and managed can offer investors a level of visibility and control that purely capital-led approaches cannot.

ABF Benefits5

Income Generation
Contractual cash flows from collateral-backed assets generate resilient current income.

Downside Protection
Asset-level underwriting, structural protections and active servicing are designed to limit losses.

Diversification
ABF spans a broad range of asset types and sectors, offering exposure to the real economy that behaves differently from traditional credit markets.

Liquidity Profile
Regular principal and interest payments throughout the life of an investment may provide more consistent capital return than longer-duration credit alternatives.

Insights

See All
Asset-Based Finance
Collateral Control Failures: What First Brands and Tricolor Reveal about ABF Oversight

This Rithm Capital whitepaper digs into the 2025 collapses of First Brands and Tricolor, showing how weak oversight of collateral and cash flow turned supposedly secured lending in...

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Asset-Based Finance
Asset-Based Finance Goes Mainstream: Long History, Expanding Scope
Read More
Asset-Based Finance
Banks and the Rise of ABF: A Partnership, Not a Displacement
Read More
Asset-Based Finance
A Strategic Approach to Managing Mortgage Servicing Rights
Read More
See All

Frequently Asked Questions

What is asset-based finance?

Asset-Based Finance refers to secured lending backed by identifiable financial, real or commercial assets that generate contractual cash flow or possess marketable value.

 How does ABF differ from corporate credit?

ABF is underwritten to specific assets and cash flows, rather than enterprise value and EBITDA.

 How is ABF structured?

ABF transactions are typically structured with collateral protections, defined cash-flow waterfalls and documentation designed to support recovery outcomes in various scenarios.

 Why does servicing capability matter in ABF?

Collateral performance, monitoring and resolution processes are central to recovery outcomes.

 Where does Rithm focus within ABF?

Rithm invests across the full spectrum of ABF, including residential credit, residential transitional lending, commercial real estate, consumer finance, specialty finance and structured credit. Our approach combines direct origination through Newrez and Genesis Capital with third-party sourcing, secondary acquisitions and bilateral capital solutions, allowing us to allocate dynamically across sectors and market conditions.

 What makes Rithm different from other ABF managers?

Rithm's platform includes direct asset origination through Newrez and Genesis Capital, providing aggregate insight into how assets are created and how they perform. Combined with deep structuring and securitization expertise, reflected in over $63bn in securitizations since inception 3, and an experienced investment management team, Rithm spans the full ABF lifecycle from sourcing through active management and resolution.

 What is the difference between asset-based finance and asset-backed securities?

Asset-backed securities (ABS) are structured debt instruments distributed in public markets, typically backed by homogenous, standardized collateral with rating agency oversight. Asset-based finance is broader — it encompasses a wider range of collateral types, is often more bespoke in structure, and is dynamically managed rather than statically pooled. ABF can be structured across term loans, revolving facilities, private placements or securitizations, tailored to the specific needs of issuers and investors.
  • This page, including any related content accessible through hyperlinks, is intended for institutional investors only and is provided for informational and educational purposes. Nothing contained herein, including any related content accessible through hyperlinks, constitutes an offer to sell, a solicitation of an offer to buy, or a recommendation of any security or investment product, nor does it constitute investment, legal, tax or accounting advice. The information presented reflects the views of Rithm Capital Corp. ("Rithm") as of the date indicated and is subject to change without notice. Past performance is not indicative of future results. Any references to specific investment strategies, capabilities or market conditions are intended to illustrate Rithm's general approach to asset-based finance and should not be construed as a guarantee of future performance or results. Potential benefits described herein are not guaranteed, and actual results may vary materially. All statistics and figures are sourced as noted and are subject to the assumptions and limitations described in the applicable footnotes.
  1. Represents the average investment experience (in years) of senior leadership at Rithm Capital Corp.
  2. Source: McKinsey & Company, The next era of private credit.
  3. Source: Bloomberg, as of February 3, 2025
  4. The Primary Mortgage Servicers third-party rating was provided by Inside Mortgage Finance (“IMF”) on 05/07/2026, covering the first quarter of 2026. The Top 50 Mortgage Lenders third-party rating was provided by IMF on 04/30/2026, covering the first quarter of 2026. Rithm paid no direct fees to IMF in exchange for receiving the third-party ratings, but pays for a data subscription to access IMF’s standard reports, including the reports that contain these ratings. These ratings should not be viewed as representative of any client’s experience, and should not be taken as an indication of performance by Rithm or any of its clients.
  5. The above statements represent management's current views of the market and are not guaranteed. These potential benefits are not guaranteed. Actual results may vary materially.