Dan Binowitz
loanDepotAbout Dan Binowitz
Dan Binowitz, age 56, serves as Managing Director of Servicing at loanDepot (LDI), overseeing all post-funding operations, loan servicing, and settlement services affiliates; he previously served as Managing Director of Operations & Servicing (2022–2024) and joined loanDepot in 2011 after senior roles at PMAC Lending Services, LH Capital Management, Fremont Investment & Loan, and First Mortgage Corporation; he holds a BA in Economics from the University of Michigan . Company performance context during his executive tenure includes revenue growth and margin expansion, corporate debt reduction, and achieving profitability in Q3 2024, which led the Compensation Committee to certify 2024 performance PSUs; the 2024 incentive plan funded at 65% of target, and Q4 2023 revenue grew 35% year over year while adjusted net loss fell 69% in 2023; TSR over 2022–2024 reflects market volatility and recovery efforts .
Company performance metrics:
| Metric | 2022 | 2023 | 2024 |
|---|---|---|---|
| Net Income (Loss) ($) | (610,385,250) | (235,512,810) | (202,150,970) |
| Value of $100 Investment (TSR) ($) | 35.06 | 74.79 | 43.34 |
Servicing portfolio growth:
| Metric | 2022 YE | 2023 YE |
|---|---|---|
| Servicing AUM ($ Billions) | $141 | $145 |
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| PMAC Lending Services Inc. | Executive Vice President | Sep 2010 – Feb 2011 | Senior leadership in lending operations ahead of loanDepot tenure |
| LH Capital Management | Chief Administrative Officer | Feb 2008 – Oct 2009 | Operations leadership in capital management context |
| Fremont Investment & Loan | Vice President | Apr 2004 – Dec 2007 | Institutional lending operations experience |
| First Mortgage Corporation | Senior Vice President | Feb 2001 – Dec 2003 | Mortgage operations leadership at a retail lender |
External Roles
No external public company directorships or outside board roles are disclosed in company filings for Binowitz .
Fixed Compensation
- Binowitz is an executive officer but not a Named Executive Officer (NEO); detailed salary, target bonus, and actual bonus disclosures are provided only for NEOs and are not disclosed for Binowitz under LDI’s smaller reporting company framework .
Performance Compensation
Executive leadership equity design (applies to senior team; NEO terms shown for program structure and certification):
| Metric | Weighting | Target | Actual | Payout | Vesting |
|---|---|---|---|---|---|
| 2024 PSUs (Senior leadership focus on adjusted net income) | 50% of NEO mix (leadership used similar PSU construct) | Achieve one quarter of positive adjusted net income | Achieved in Q3 2024 | Target earned; 1/3 vested immediately | Remaining vests one-third on April 15, 2026 and April 15, 2027 (service-based) |
| 2024 RSUs (NEOs) | 50% | Time-based grants supporting retention | N/A | N/A | Ratably over 3 years (Apr 15, 2025/2026/2027) |
| 2025 PSUs (leadership program) | 25% of executive leadership mix (NEOs 50/50; others 75/25) | Sustaining profitable adjusted net income and high customer satisfaction | Ongoing | TBD | Multi‑year vesting to align with long‑term value |
2024 annual incentive funding (company level): 65% of target funded; individual outcomes varied by contribution; contextual for executive incentives and PSU certification .
Equity Ownership & Alignment
- Incentive Units (TMI Units): Executives historically hold LD Holdings “profits interests” through Trilogy entities; upon sale of the Company, outstanding unvested TMI Units accelerate and vest, and executives can direct conversions (Class C + Holdco Units) into Class A, subject to Board approval; Anthony Hsieh controls voting over Trilogy-held Class C until conversion, affecting voting alignment dynamics .
- Binowitz specific vesting: Expected vesting of 7,722 TMI Units within 60 days of the March 15, 2024 record date (administrative disclosure in proxy), indicating ongoing equity accrual from legacy incentive structures .
- Anti-hedging and pledging: LDI prohibits hedging, short sales, publicly traded options transactions, holding stock in margin accounts, and pledging loanDepot stock; policy applies to directors, executives, and employees, mitigating misalignment risks from hedging/pledging .
- Clawback: NYSE 303A.14-compliant clawback policy covering excess incentive compensation over the prior three fiscal years in the event of accounting restatements; SOX 304 reimbursement applies to CEO/CFO upon misconduct-related restatements .
- Section 16 compliance: One Form 4 reporting three related transactions for Jeff Walsh was late (admin error) and one Form 4 for Dan Binowitz reporting a sale was late (admin error), suggesting process rather than intent issues; overall Section 16 compliance otherwise timely per disclosures .
Employment Terms
- Employment agreement terms, severance, and change‑of‑control provisions for Binowitz are not disclosed; named executive employment agreements (CEO, CFO, President LDI Mortgage) include cash severance, pro‑rata bonuses, COBRA, and performance award acceleration, indicating LDI’s template approach but without specific applicability to Binowitz in filings .
Investment Implications
- Alignment: Binowitz’s role steering servicing and post‑funding operations aligns with LDI’s strategic pivot to a durable revenue model; PSU certification on achieving positive adjusted net income and multi‑year vesting supports retention and long‑term value creation in operations-heavy domains he oversees .
- Ownership dynamics: Legacy TMI Unit structure with Hsieh voting control prior to conversion concentrates governance power; executives’ conversion rights into Class A can create event‑driven alignment and potential liquidity pathways around corporate actions (e.g., sale, buybacks), with accelerated vesting on a change of control .
- Risk signals: Anti‑pledging/hedging policy reduces misalignment and forced selling risks; isolated late Form 4 for Binowitz appears administrative but warrants monitoring of future Form 4 timeliness as a process control indicator .
- Execution focus: Servicing AUM growth ($141B → $145B) and the company’s profitability milestone in Q3 2024 point to operational progress in areas under Binowitz’s purview; sustaining profitability (2025 PSU focus) is the key lever for incentive realization and equity value accretion .