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  "documentTitle": "SoFi Technologies (SOFI)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Muddy Waters",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2026-03-17 00:00:00",
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  "notes": "This is a research note page from a short-seller report (likely Kerrisdale Capital or similar) critiquing SoFi's accounting practices.",
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      "text": "We therefore believe the primary reason SOFI has grown this portfolio so aggressively is because the Day 1 gains are the single largest source of recurring paper income available to management on terms that satisfy the comp structure.",
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      "text": "fair value gains: $724 million",
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      "text": "Exhibit III-1 illustrates the sensitivity using Q4 2025 inputs... At a discount rate equal to the portfolio's own weighted-average coupon of 5.87%, the fair value equals par and the entire $724 million cumulative markup disappears.",
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      "text": "SOFI's student loan discount rate was ~7% below the risk-free rate for all of 2025. Averaged across the four quarters, SOFI used a discount rate of 3.995%—approximately 30 basis points below the average 10-year U.S. Treasury yield of 4.29%.",
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      "kind": "paragraph",
      "text": "Using a manipulative financial modeling technique, SOFI's $12.9 billion student loan portfolio generates approximately $450 million per year in Day 1 Fair Value gains...",
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      "kind": "source-note",
      "text": "13 2025 10-K, Note 1... 14 SOFI's quarterly student loan discount rates... 15 Weighted-average maturity of ~11.4 years...",
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      "kind": "title",
      "text": "III. STUDENT LOAN FAIR VALUE: $247 MILLION IN UNJUSTIFIED PAPER GAINS",
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      "text": "A. The Discount Rate Below the Risk-Free Rate",
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