Cornerstone Financing on Tuesday announced a strategic asset purchase commitment of up to $1 billion from funds managed by affiliates of Fortress Investment Group – an agreement that aims to accelerate Cornerstone’s mission to help mass-affluent homeowners efficiently convert dormant home equity into liquidity without interest debt, or monthly payments through its flagship product, CHEIFS.
CHEIFS is the first prime home equity investment funding solution built specifically for financial planning — allowing homeowners to convert a portion of their home equity into cash for insurance planning and wealth building, retirement income, annuities, long-term care coverage, and generational planning. This new capital partnership underscores the success of CHEIFS as a transformative solution for financial advisors and mass-affluent families nationwide.
Fortress Investment Group is a global investment manager overseeing approximately $54 billion in assets with decades of experience in asset-based finance, including structured finance and real-asset strategies.
The agreement with Fortress represents one of the largest institutional commitments in the home equity investments sector and signals a significant shift in how prime home equity can be used as a financial asset.
“CHEIFS solves one of the biggest challenges facing homeowners: finding liquidity for retirement, insurance, and long-term financial planning without disturbing their investment portfolio or liquidity,” Cornerstone Co-Founders Craig Corn and Dan Anderson said in a joint statement. “With Fortress’s financing commitment, CHEIFS is positioned to become the next major part of holistic financial planning, allowing advisors to efficiently optimize over $35 trillion of home equity to better serve their clients.”
Stephen Wark, managing director, residential assets, at Fortress Investment Group, agreed.
“Through this forward flow agreement with Cornerstone, we’re pleased to support the expansion of the company’s home equity investment funding solution,” he said. “We believe Cornerstone’s underwriting diligence, focus on prime borrowers, and strong track
record create a differentiated and compelling asset-backed financing opportunity that aligns with Fortress’s strategy to deliver attractive, risk-adjusted returns for investors.”
