(1)

Costs incurred in connection with our secured debt are recorded on our consolidated balance sheet when incurred and recognized as a component of interest expense over the life of each related facility.

Secured Credit Facilities

Our secured credit facilities are bilateral agreements we use to finance diversified pools of senior loan collateral with sufficient flexibility to accommodate our investment and asset management strategy. The facilities are uniformly structured to provide currency, index, and term-matched financing without capital markets based

mark-to-market

provisions.

The following table details our secured credit facilities as of June 30, 2021 ($ in thousands):


June 30, 2021
				Wtd Avg.				Wtd Avg.	Recourse Limitation
Currency	Lenders (1)	Borrowings		Maturity (2)	Loan Count	Collateral (3)		Maturity (4)	Wtd. Avg.	Range


USD	12	$	4,589,729	8/1/2024	88	$	7,437,101	9/20/2024	29%	25% - 100%
EUR	6		2,457,542	7/18/2024	9		3,258,275	6/27/2024	49%	25% - 100%
GBP	6		986,145	7/8/2024	11		1,630,785	9/30/2024	27%	25% - 50%
Others (5)	4		695,865	5/5/2025	5		895,872	4/13/2025	27%	25% - 100%

Total	12	$	8,729,281	8/16/2024	113	$	13,222,033	9/14/2024	34%	25% - 100%

(1)	Represents the number of lenders with fundings advanced in each respective currency, as well as the total number of facility lenders.

(2)	Based on the earlier of (i) the maximum maturity date of each secured credit facility, or (ii) the maximum maturity date of the collateral loans.

(3)	Represents the principal balance of the collateral assets.

(4)	Maximum maturity assumes all extension options are exercised by the borrower, however our loans may be repaid prior to such date.

(5)	Includes Swedish Krona, Australian Dollar, and Canadian Dollar currencies.

The availability of funding under our secured credit facilities is based on the amount of approved collateral, which collateral is proposed by us in our discretion and approved by the respective counterparty in its discretion, resulting in a mutually agreed collateral portfolio construction. Certain structural elements of our secured credit facilities, including the limitation on recourse to us and facility economics are influenced by the specific collateral portfolio construction of each facility, and therefore vary within and among the facilities.

The following tables detail the

all-in

cost of our secured credit facilities as of June 30, 2021 and December 31, 2020 ($ in thousands):


	Six Months Ended June 30, 2021		June 30, 2021
All-in Cost (1)(2)	New Financings (3)		Total Borrowings		Wtd. Avg. All-in Cost (1)(2)(4)			Collateral (5)		Wtd. Avg. All-in Yield (2)(6)			Net Interest Margin (7)
+ 1.49% or less	$	562,480	$	2,017,600		+ 1.42	%	$	2,520,834		+ 2.88	%		+ 1.46	%
+ 1.50% to + 1.74%		901,070		2,836,242		+ 1.67	%		3,981,023		+ 3.32	%		+ 1.65	%
+ 1.75% to + 1.99%		404,035		1,701,316		+ 1.84	%		2,755,559		+ 3.41	%		+ 1.57	%
+ 2.00% or more		672,999		2,174,123		+ 2.21	%		3,964,617		+ 3.88	%		+ 1.67	%

Total	$	2,540,584	$	8,729,281		+ 1.78	%	$	13,222,033		+ 3.42	%		+ 1.64	%


	Year Ended December 31, 2020		December 31, 2020
All-in Cost (1)(2)	New Financings (3)		Total Borrowings		Wtd. Avg. All-in Cost (1)(2)(4)			Collateral (5)		Wtd. Avg. All-in Yield (2)(6)			Net Interest Margin (7)
+ 1.49% or less	$	—	$	1,377,406		+ 1.45	%	$	1,851,104		+ 2.82	%		+ 1.37	%
+ 1.50% to + 1.74%		340,997		2,600,520		+ 1.65	%		4,173,632		+ 3.18	%		+ 1.53	%
+ 1.75% to + 1.99%		35,088		1,639,137		+ 1.87	%		2,459,716		+ 3.54	%		+ 1.67	%
+ 2.00% or more		522,431		2,279,800		+ 2.24	%		3,556,455		+ 3.87	%		+ 1.63	%

Total	$	898,516	$	7,896,863		+ 1.83	%	$	12,040,907		+ 3.40	%		+ 1.57	%

(1)	In addition to spread, the cost includes the associated deferred fees and expenses related to the respective borrowings.

(2)	The all-in cost and all-in yield are expressed over the relevant floating benchmark rates, which include USD LIBOR, GBP LIBOR, SONIA, EURIBOR, STIBOR, BBSY, and CDOR, as applicable.

(3)	Represents borrowings outstanding as of June 30, 2021 and December 31, 2020, respectively, for new financings during the six months ended June 30, 2021 and year ended December 31, 2020, respectively, based on the date collateral was initially pledged to each credit facility.

(4)	Represents the weighted-average all-in cost as of June 30, 2021 and is not necessarily indicative of the spread applicable to recent or future borrowings.

(5)	Represents the principal balance of the collateral assets.

(6)	In addition to cash coupon, all-in yield includes the amortization of deferred origination and extension fees, loan origination costs, and purchase discounts, as well as the accrual of exit fees.

(7)	Represents the difference between the weighted-average all-in yield and weighted-average all-in cost.

Our secured credit facilities generally permit us to increase or decrease the amount advanced against the pledged collateral in our discretion within certain maximum/minimum amount and frequency limitations. As of June 30, 2021, there was an aggregate $1.1 billion available to be drawn in our discretion under our credit facilities.

Acquisition Facility

We have a $250.0 million full recourse secured credit facility that is designed to finance eligible first mortgage originations for up to nine months as a bridge to term financing without obtaining discretionary lender approval. The cost of borrowing under the facility is variable, dependent on the type of loan collateral, and its maturity date is April 4, 2023.

During the six months ended June 30, 2021, we had no borrowings under the acquisition facility and we recorded interest expense of $618,000, including $178,000 of amortization of deferred fees and expenses.

During the six months ended December 31, 2020, we had no borrowings under the acquisition facility and we recorded interest expense of $635,000, including $188,000 of amortization of deferred fees and expenses.

Financial Covenants

We are subject to the following financial covenants related to our secured debt: (i) our ratio of earnings before interest, taxes, depreciation, and amortization, or EBITDA, to fixed charges, as defined in the agreements, shall be not less than 1.4 to 1.0; (ii) our tangible net worth, as defined in the agreements, shall not be less than $3.0 billion as of each measurement date plus 75% of the net cash proceeds of future equity issuances subsequent to June 30, 2021; (iii) cash liquidity shall not be less than the greater of (x) $10.0 million or (y) no more than 5% of our recourse indebtedness; and (iv) our indebtedness shall not exceed 83.33% of our total assets. As of June 30, 2021 and December 31, 2020, we were in compliance with these covenants.