Pagaya Technologies LTD., an AI-driven financial ecosystem technology company, has entered into a new forward flow agreement with Sound Point Capital Management, LP, an alternative credit manager, for the purchase of up to $720 million in point-of-sale (POS) loans originated through Pagaya’s platform.
This agreement marks Pagaya’s first forward flow transaction specifically for its POS program. The initiative reflects Pagaya’s strategy to scale efficient and repeatable capital solutions with long-term institutional partners across its diverse product portfolio. Following the successful launch of its AAA-rated POS revolving asset-backed securitization (ABS) shelf, POSH, in May 2025, Pagaya has actively diversified its funding sources. Since the launch of POSH, the company has secured over $3 billion in prospective funding capacity to support the expansion of its rapidly growing POS business.
Philip Bartow, Head of Specialty Finance and Fintech Lending & Portfolio Manager at Sound Point, commented on the partnership, stating, “Pagaya has built a differentiated, institutional-grade platform for accessing consumer credit. We’re excited to partner with Pagaya to support the continued growth of its point-of-sale strategy, while offering our investors consistent exposure to short-duration assets with highly attractive risk-adjusted returns and durable income.” Sound Point Capital Management, based in New York City with offices in London, Greenwich, West Palm Beach, and San Francisco, manages approximately $45 billion in assets for institutional investors.
Sanjiv Das, President and Co-founder of Pagaya, also remarked, “We are proud to partner with Sound Point on our inaugural point-of-sale forward flow transaction. Together, we’re connecting capital with the responsible expansion of consumer credit opportunities—through a product that resonates and is in strong demand by institutional investors. This agreement is an important milestone as we continue to efficiently scale our point-of-sale business.”
Pagaya leverages predictive AI-powered credit decisioning to facilitate access to high-quality consumer credit assets. Its network includes over 30 lending partners across three core product verticals: personal loans, auto loans, and point-of-sale (POS) loans. By combining its public ABS program with private capital partnerships, Pagaya aims to establish a resilient, multi-channel funding platform to support continued growth across its product offerings.
