QUARTERLY UPDATE - 2016 Q2

July 2016

Dear Rubicon Investor or Prospective Investor:

Rubicon Mortgage Fund, LLC (RMF) is pleased to announce that investors who reinvested each month during both the first two quarters of 2016 received an annualized compounded return of 7.108%. This marks the 34th consecutive quarter that the Fund has been profitable for its investors.

2nd Quarter in Review

RMF funded nine new loans this quarter. The Fund also received nine pay offs from current borrowers while adding over a million dollars in additional capital contributions from either existing accounts or new accounts. The Fund is still in contract to sell it’s only REO (real estate owned) property which is located in Moss Landing, CA.  Management will provide a more detailed summary once that transaction has closed.

Remaining Outlook for 2016

We continue to believe the Federal Reserve will not raise rates more the 25 basis points over the remaining six months of the year and quite possibly will not move them at all.  We also believe the real estate market will soften in 2016.  The stock market remains volatile which we believe will continue to add pressure on fixed income products like our Fund. So in summary we expect our investor returns to remain about the same for the balance of 2016. Capital preservation remains our primary goal and objective.

Transparency

All of our investors receive monthly account statements either electronically or via hard copy, quarterly updates from the manager (like this one), and a copy of the Fund’s annual audit.  All of the annual audits and quarterly updates are posted online on our website www.Rubiconfund.net. If you did not receive any of those documents, or wish to go back and review them, please contact us or visit the website.  If you have registered for monthly distributions you should be receiving either an ACH deposited directly into your bank account or a check sent to your mailing address.  Finally, all investors should be receiving an email electronic “blast” or message every time a loan is funded.  If you miss the “blast” you can go on our website and see our blog posted online.  Once on the website you will notice a tab “Funded Loans,” here you will find a picture of all of our latest loan closings.  It is extremely important to us that you are informed, and that you see exactly where your money is being invested.  Please contact us with any questions or comments.

Rubicon's Annual IRR Graph: (Annualized compounded return versus the 10 year Treasury Note)

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 and as always, contact us directly with any questions.

Sincerely,
Rubicon Mortgage Fund, LLC