Leasing & Finance

Leasing & Finance

Japanese Operating Lease with Call Option (JOLCO)

Overview

The Japanese Operating Lease with Call Option (JOLCO) was planned and structured by NTT TC Leasing for the leasing of large properties such as aircrafts. Through investments, customers can level out their periodic profits, and the leases are useful for long-term corporate and tax planning. In addition, it is possible for customers to make capital gains by selling their leased assets after the lease term ends.

Business model

(1) Investor invests in a NTT TC Leasing (operator = lease lender) based on an anonymous partnership contract (about 20 to 30%). (2) NTT TC Leasing 100% subsidiary (operator = lease lender) borrows from financial institutions (about 70-80%). (3) NTT TC Leasing 100% subsidiary (operator = lease lender) pays the property price to the manufacturer (100%). (4) Purchase a property from a manufacturer to a NTT TC Leasing (operator = lease lender). ⑤ NTT TC Leasing wholly owned subsidiary (operator = lease lender) leases a property to a user (lease borrower). (6) Payment of lease fees from the user (lease borrower) to a NTT TC Leasing ⑦ NTT TC Leasing 100% subsidiary (operator = lease lender) pays back to financial institutions. ⑧ NTT TC Leasing 100% subsidiary (operator = lease lender) to investors.(1) Investor invests in a NTT TC Leasing (operator = lease lender) based on an anonymous partnership contract (about 20 to 30%). (2) NTT TC Leasing 100% subsidiary (operator = lease lender) borrows from financial institutions (about 70-80%). (3) NTT TC Leasing 100% subsidiary (operator = lease lender) pays the property price to the manufacturer (100%). (4) Purchase a property from a manufacturer to a NTT TC Leasing (operator = lease lender). ⑤ NTT TC Leasing wholly owned subsidiary (operator = lease lender) leases a property to a user (lease borrower). (6) Payment of lease fees from the user (lease borrower) to a NTT TC Leasing ⑦ NTT TC Leasing 100% subsidiary (operator = lease lender) pays back to financial institutions. ⑧ NTT TC Leasing 100% subsidiary (operator = lease lender) to investors.
  • Since the 1990s, we have been involved in the arrangement and sale of leveraged aircraft leases, and since the 2000s, we have been involved in the arrangement and sale of operating leases for aircraft, ships, and containers.
    We have established over 200 deals and have many investors participating.
  • JOLCO (Japanese Operating Lease with Call Option) involve various risks, such as asset sale risk and exchange rate risk, so please feel free to contact our staff if you are considering them.

Risks

  • There is no fee paid directly to the Company by investors when they make an investment, but a portion of the investment amount will be used for fees to the Company and other arrangers for the formation of the leasing business and other expenses. The consideration for the transfer of the status of the anonymous partnership to which you make an investment includes an amount equivalent to interest for the period up to the date of actual investment, and this amount belongs to the transferor of the status.
  • The investment is an anonymous partnership investment in a JOLCO (Japanese Operating Lease with Call Option) business conducted by our wholly owned subsidiary. Investment in this leasing business does not have a fixed return, and there is a possibility that the principal of the investment will be lost or that losses will exceed the principal if the parties to the transaction, such as users (lessees), default on their debts or the second-hand market for leased properties fluctuates.

For more information, please refer to the documentation (the pre-contract documents based on the Financial Instruments and Exchange Act) related to this leasing business.

Trade name: NTT TC Leasing Co.,Ltd.
Director of the Kanto Local Finance Bureau (Financial Instruments) No. 3200
General Incorporated Association Type II Financial Instruments Firms Association Member (Type II Business Operator No. 631)

For first-time customers: Leasing services at NTT TC Leasing

[Consultation about this service
Contact for complaints】

NPO Securities/Financial Instruments
Mediation consultation center (FINMAC)

〒103-0025
2-1-1 Kayabacho, Nihonbashi, Chuo-ku, Tokyo

  • 受付電話番号 :0120-64-5005
  • ファクシミリ番号 :03-3669-9833
  • ホームページからの受付窓口 :
    http://www.finmac.or.jp
  • Reception hours: Monday to Friday, 9:00 to 17:00 (excluding holidays, including substitute holidays, and from December 31st to January 3rd)
  • * FINMAC is an acronym for Financial Instruments Mediation Assistance Center.
  • * A partial revision of the Financial Instruments and Exchange Act (hereinafter referred to as the “Law”) (Law No. 58 of 2009) created the financial ADR *1 system, which allowed financial instruments business operators to For each type of registered business, the obligation to take complaints handling measures and dispute resolution measures (Article 37-7, Paragraph 1, Item 1 of the Law) was imposed.
  • *1 ADR is an alternative to litigation, a method of resolving disputes based on the agreement of parties such as mediation, mediation, and arbitration.
For first-time customers: Leasing services at NTT TC Leasing

JOLCO (Japanese Operating Lease with Call Option)
Inquiries about

Responsible department: International Business Department Investment Product Sales Division
Reception hours: 9:00-17:00
Monday to Friday (excluding public holidays and New Year's holidays)

03-6455-8808
NTT TC Leasing Web Portal
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