Minimum portfolio and facility sizes
Most private banks will not open a new Lombard relationship below €500,000 of pledged assets, and many set their practical floor at €1,000,000 for a new client with no existing relationship. Facility minimums typically start at €100,000–€250,000.
Because advance rates average 50–70%, the arithmetic runs backwards from the programme threshold: a €250,000 requirement implies roughly €400,000–€500,000 of eligible collateral, and a €500,000 requirement implies €800,000–€1,100,000.
Which assets lenders accept as collateral
Two overlays apply to everything in this table. Concentration caps limit any single line to roughly 10–20% of collateral value, and currency haircuts reduce the advance where the collateral currency differs from the loan currency.
| Asset | Accepted? | Typical advance |
|---|---|---|
| Listed developed-market equities | Yes | 50–65% |
| Government and investment-grade bonds | Yes | 70–90% |
| Daily-dealing funds and ETFs | Yes | 50–70% |
| Structured products | Case by case | 0–50% |
| Hedge funds and private equity | Rarely | 0–40% |
| Unlisted company shares | Structured facilities only | Negotiated |
| Investment property | Yes, via mortgage | 50–70% |
| Crypto assets | Rarely, specialist lenders | 20–40% |
Nationality, residency and sanctions screening
Your nationality and tax residency affect which lenders can act, more than whether you qualify in principle. US persons face FATCA reporting that several European private banks decline to take on. Applicants resident in jurisdictions subject to sanctions or on enhanced-monitoring lists face longer onboarding or outright refusal.
This is a lender-selection problem, not a credit problem. Screening for institutions that already serve your profile before submitting an application saves weeks.
Source of wealth and source of funds
Two separate files are required, and they are the most common reason for delay. Source of wealth explains how you accumulated your capital over your career. Source of funds explains where the specific money for this transaction came from.
Both must be evidenced, not asserted. Immigration authorities apply the same scrutiny to the loan as the bank does, so inconsistencies between the two files are a serious risk.
- Business sale agreements, audited accounts or share registers
- Employment contracts, bonus statements and multi-year tax returns
- Inheritance or gift documentation with the donor's own source of wealth
- Property sale contracts and completion statements
- Full bank statements tracing the funds through each account
- The loan agreement, pledge documentation and collateral statements
Income, affordability and credit history
Lombard lending is asset-based, so income tests are lighter than for a mortgage — but they are not absent. The bank will want to see that interest can be serviced from income or portfolio distributions without forcing an asset sale.
Mortgage lending is the opposite. Greek, Spanish and Portuguese banks will run a full affordability assessment covering global income, existing debt and dependants, typically requiring total debt service to stay below 30–40% of net income.
Common reasons applications are declined
- Collateral concentrated in one or two positions, collapsing the borrowing base
- Assets held in a structure the bank cannot take a clean pledge over
- Source of wealth that cannot be documented back to its origin
- Nationality or residency outside the lender's risk appetite
- Requesting a drawdown at 90%+ of the borrowing base, leaving no headroom
- Timeline pressure: applying after signing a binding purchase or subscription
Most declines are structural and predictable. A collateral review before you approach a lender identifies almost all of them while they are still fixable.
Frequently asked questions
What is the minimum portfolio for a golden visa loan?+
Most private banks require €500,000 of pledged assets as a floor, with €1,000,000 more typical for a new relationship. Work backwards from the programme threshold at a 50–70% advance rate.
Can I use company shares or property as collateral?+
Unlisted shares generally require a bespoke structured facility rather than a standard Lombard line. Investment property is financed by mortgage rather than pledge.
Do US citizens qualify?+
Yes, but the pool of willing lenders is smaller because of FATCA reporting obligations. Selecting a lender that already serves US persons avoids wasted weeks.
Will a lender check my credit history?+
Lombard lenders focus on collateral but still assess your ability to service interest. Mortgage lenders run full affordability checks including global income and existing debt.
What documents should I prepare in advance?+
Passport and proof of address, two to three years of tax returns, collateral statements, a documented source-of-wealth narrative with supporting evidence, and bank statements tracing the funds.
Discuss your financing with a CISI Level 7 adviser
We model the loan against your actual portfolio, the programme you are targeting, and your tax residency — before you commit capital. No product commission, no obligation.