QUARTERLY UPDATE - 2015 Q1

April 2015

Dear Rubicon Mortgage Fund Investor or Prospective Investor:

Rubicon Mortgage Fund, LLC is pleased to announce that investors who reinvested each month during the 1st Quarter in 2015 received an annualized   compounded return of 6.99%.We proudly have made consistent returns for our investors each of the 87 months we have been open.

1st Quarter in Review:

Seven new loans totaling approximately $4,700,000 were funded this quarter. The Fund also received five pay offs from current borrowers. Approximately twenty-three investors either added to their existing accounts or opened a new account totaling just over $4,000,000. We did have one foreclosure on a property in Moss Landing, CA.  We originally purchased that note at a heavy discount. We will keep you updated on the progress of this foreclosure.  This was not unexpected, and we priced it into our purchase of the note from the very beginning. Our portfolio is now comprised of 63 loans. All of our loans are secured in 1st position, and our portfolio is consistently meeting our expectations.

2015 Marketplace:

With an abundance of capital available in the market, pricing remains low for conventional and private debt.Investors continue to seek yield, but won’t see higher returns investing in notes until rates increase. So expect our returns to remain similar to what they have been for the past couple of years. The real estate market remains very strong in Northern California. In general, quality locations are being valued at or near historical highs, but lessor or inferior locations proportionally have not fully recovered. Based on indications from the Fed and various “expert” economists,we feel that interest rates will be on the rise in the not too distant future.

Graph of Rubicon’s returns since 2008:

This represents an actual account that has compounding returns

Please note that our best sources of referrals come from our current stable of Investors.  Please feel free to give our contact information to any interested colleagues, family or partners. As always, do not hesitate to contact us directlywith any questions.

Sincerely,

Rubicon Management