Private Bank Mortgage with No AUM Using Bonus Income
Securing a private bank mortgage with no AUM using bonus income is possible for high-value clients who rely heavily on variable earnings. In this case study, Articus Finance enabled a hedge fund executive to purchase a £3.5 million South West London property with a 75% LTV mortgage, all without requiring any assets under management.
Introduction
Obtaining a private bank mortgage with no AUM using bonus income is often perceived as unrealistic, especially by borrowers whose compensation is structured toward performance-based payments rather than fixed salaries. Most mainstream lenders either undervalue such income or refuse to account for its contribution in full.
By leveraging its expertise, Articus Finance structured a bespoke solution that maximised recognition of the client’s true earnings and avoided tying the mortgage to costly AUM transfers. This case highlights the sophistication of private bank lending when guided with precision.
Client Background
The borrower was a British national in his early 40s, employed at one of London’s premier hedge funds. His total remuneration reached seven figures annually, but the majority came from variable bonuses. His fixed salary represented less than 20% of total income—a structure common in his sector.
The client sought to acquire a prestigious five-bedroom South West London residence worth £3.5 million. He had arranged a 25% deposit funded by the sale of his current home. Yet beyond financing, he wanted a discreet facility that matched his financial strength while keeping full control of his wealth. This made the requirement of a private bank mortgage with no AUM using bonus income critical to the brief.
The Challenge
High-street banks apply strict criteria, usually capping affordability at 4.5–5 times base salary. Bonus income, no matter how consistent, is often only partially recognised. For a professional with modest base pay but substantial annual bonuses, this creates a stark mismatch between borrowing need and lender assessment.
Private banks are often more flexible, but their common insistence on AUM transfers creates another obstacle. For this client, such terms were unacceptable; placing millions of investable assets with one bank simply to access property finance limited his autonomy and conflicted with his broader wealth strategy.
This left the client in a unique bind: mainstream lenders discounted his earnings, while private banks risked imposing custodial demands. Moreover, the size of the loan—£2.625 million—required comfort with both scale and complexity. The ideal lender needed to balance flexibility with sophistication.
Market-wide, this is a growing issue. Many professionals in hedge funds, investment banking, and private equity face similar hurdles. Variable bonus-heavy income is their primary source of wealth, yet traditional lending models struggle to accommodate it. Successfully securing a private bank mortgage with no AUM using bonus income demonstrates not just individual success but also shifts in how private banks are adapting to modern executive income structures.
Our Solution
Articus Finance compiled a robust financial package showing five years of bonus history, liquidity, and net worth. This redefined the client’s profile from “bonus-heavy” to “long-term stable” for the lender. Careful analysis highlighted that bonuses were consistent, not sporadic, and that the client had discretionary liquidity beyond the property purchase.
This dossier reframed risk perception. By documenting bonus receipts alongside wealth statements, we demonstrated why a private bank mortgage with no AUM using bonus income was a sustainable solution. Equally critical was our advocacy in negotiations: the mortgage facility would stand alone, without linked investment management mandates.
The result was approval of a £2.625 million loan at 75% LTV. This provided the borrowing required to secure the home, without concessions on asset custody, preserving wealth independence across multiple banking partners. The solution was discreet, efficient, and entirely tailored.
Key Highlights
- Client Type: Hedge fund professional with bonus-driven income
- Property Value: £3.5 million, South West London
- Deposit: 25%, funded via existing property sale
- Loan Structure: 75% LTV mortgage based on total income
- Notable Feature: No AUM commitment required
- Result: Bespoke approval aligned with bonus earnings
Why Articus Finance Delivered
Articus Finance excels in representing complex borrower profiles and translating them into financing structures that lenders recognise. Executives in financial services often encounter the same difficulty: bonus income is undervalued. Our role is to reposition such profiles elegantly, demonstrating their stability to banks.
Experience with Private Bank Mortgages, High Net Worth Mortgages, and bonus or self-employed income cases allowed us to anticipate lender questions and answer them before they arose. The ability to secure a private bank mortgage with no AUM using bonus income is the result of those established processes and relationships.
Beyond access to lenders, our value lies in discretion. Clients in sensitive professions require more than transactions; they need long-term partnerships where every facility is considered as part of broader wealth management. By treating the case holistically, Articus Finance ensured success on both immediate and strategic levels. The case also highlights a growing shift: leading private banks are prepared to evaluate total earnings flexibly when the case is packaged with clarity and precision.
Explore Related Insights
- Private Bank Mortgages
- High Net Worth Mortgages
- Interest Only Mortgage Options
- Expat Mortgages
- Self-Employed and Bonus Income Mortgages
- Articus Case Studies
- Mortgage Guides Library
- Financial Conduct Authority (FCA)
Final Thoughts
This case confirms that a private bank mortgage with no AUM using bonus income is not only viable but also increasingly recognised as a legitimate financing pathway for global professionals with complex earnings. For discerning clients, Articus Finance provides unrivalled expertise and discretion, delivering access to tailored facilities while preserving wealth autonomy.
