Alan Mantel
About Alan H. Mantel
Independent Board Chair of Velocity Financial, Inc. since 2020; director since 2007. Over 30 years in investment banking and structured finance with prior roles at Credit Suisse and DLJ, and earlier as a CPA with Ernst & Young (inactive). Education: B.S. in Accounting (SUNY Albany) and MBA in Finance (University of Chicago) .
Past Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| TruArc Partners, L.P. | Co-Managing Partner | 2021–present | Successor to Snow Phipps; major shareholder designee . |
| Snow Phipps | Partner | 2005–Apr 2021 | Sponsor rights to nominate directors; committee seat rights . |
| Guggenheim Merchant Banking | Partner | Pre-2005 | Corporate finance and M&A experience . |
| Credit Suisse | Managing Director, Leveraged Finance | 2000–2004 | Structured/leveraged finance . |
| Donaldson, Lufkin & Jenrette | Managing Director | Pre-2000 | Investment banking . |
| Ernst & Young LLP | Senior Accountant, CPA (inactive) | 1985–1988 | Accounting/audit foundation . |
External Roles
| Organization | Role | Status |
|---|---|---|
| Aptyx | Director | Current . |
| ECRM, LLC | Director | Current . |
| EnviroFinance Group, LLC | Director | Current . |
| HCTec, Inc. | Director | Current . |
| Lamark Media, LLC | Director | Current . |
Board Governance
- Board Chair; Chair of the Compensation Committee. Committee memberships: Compensation (Chair), not listed on Audit/Governance committees in 2024 .
- Independence: Board affirmatively determined Mantel is independent despite relationships as Snow Phipps/TruArc designee; Board concluded relationships are not “material” under NYSE and Rule 10A-3 standards .
- Attendance: Board met 7 times in 2024; all directors attended ≥75% of Board and committee meetings on which they served .
- Nomination rights and interlocks: Snow Phipps holds 36.6% and may nominate up to two directors, entitled to committee seats on Compensation and Governance; Snow Phipps nominated Mantel and Pless; PIMCO holds 33.1% and nominated Chiao and Maasarani .
- Director stock ownership guidelines: Independent directors required to hold 4x annual cash retainer within four years; Mantel (Snow Phipps designee) is prohibited by internal policies from personal holdings and is not subject to guidelines and does not receive Board compensation .
- Governance practices: Anti-hedging/anti-pledging policy; majority vote standard for uncontested elections; executive sessions; ESG policy adopted .
Fixed Compensation
| Metric | 2024 |
|---|---|
| Fees Earned or Paid in Cash ($) | — |
| Stock Awards ($) | — |
| Total ($) | — |
- Policy (for compensated directors): $75,000 annual Board retainer; $10,000 per committee membership; $10,000 per committee chair; $95,000 annual restricted stock granted upon re-election .
- Note: Mantel, as Snow Phipps nominee, does not receive director compensation from VEL .
Performance Compensation
Director equity or option awards for Mantel: None; Snow Phipps nominees do not receive director compensation .
Compensation Committee program oversight (illustrative of governance rigor):
| Performance Metric | Below Threshold | Threshold | Target | Maximum | Payout Basis |
|---|---|---|---|---|---|
| 2024 Core Net Income Annual Growth | 0% | 15% | 17.5% (50% of target) | 20% (100% of target) | Linear interpolation; 50% weight |
| Individual/Corporate Objectives | 0% | 25% | 50% | 100% | Qualitative criteria; 50% weight |
| 2024 Outcome (Executives) | — | — | — | — | Achieved 200% of target bonuses based on max Core NI growth and “Exceeded Expectations” |
Other Directorships & Interlocks
| Linkage | Detail |
|---|---|
| Major shareholder linkage | Co-Managing Partner at TruArc (successor to Snow Phipps), which beneficially owns ~36.6% of VEL; Snow Phipps nominated Mantel and has committee seat rights (Compensation and Governance) . |
| PIMCO presence | PIMCO holds ~33.1%; its nominees (Chiao, Maasarani) serve; Board determined such relationships not material to independence . |
Expertise & Qualifications
- Deep financial services and structured/leveraged finance background; extensive corporate finance/M&A experience .
- Accounting and audit grounding; CPA (inactive) .
- Board leadership experience; governance, risk oversight; private equity and investments expertise .
Equity Ownership
| Holder | Shares Beneficially Owned | Percent of Class | Notes |
|---|---|---|---|
| Alan H. Mantel | — | * (<0.1%) | Disclaims beneficial ownership of Snow Phipps affiliates’ shares . |
- Director stock ownership guidelines: Not applicable to Mantel due to sponsor policies prohibiting personal holdings; therefore no alignment via personal equity, but he is a sponsor designee .
- Hedging/pledging: Company policy prohibits hedging and pledging by directors .
Governance Assessment
- Positive signals:
- Strong governance architecture: majority voting standard, anti-hedging/anti-pledging, executive sessions, ESG policy, clawback provisions embedded in the 2020 plan; no single-trigger CIC; no repricing without shareholder approval .
- Compensation Committee uses independent consultant (Mercer), assessed for conflicts; peer group benchmarking; transparent performance metrics; 2 meetings in 2024 .
- Board attendance meets thresholds; audit committee members designated financial experts; seven Board meetings in 2024 .
- Potential concerns/RED FLAGS:
- Sponsor influence: Snow Phipps holds 36.6% and has formal nomination and committee seat rights; Mantel is sponsor designee and Compensation Chair, which may raise perceived conflict risk around executive pay and strategic decisions despite formal independence determination .
- Alignment: Mantel does not receive director compensation and is exempt from equity ownership guidelines, resulting in limited direct “skin-in-the-game” alignment at the individual level (counterbalanced by sponsor alignment) .
- Concentrated ownership: PIMCO at 33.1% with nominees may contribute to dual-sponsor dynamics on the Board; Board explicitly reviewed and deemed relationships non-material to independence .
- Related-party transactions: None involving directors in 2024; one disclosed employment of CEO’s adult child with specified pay; Audit Committee oversees related-party policy .