Yellow Brick Road has pulled off the securitisation deal it has been seeking for some time, one which executive chair Mark Bouris believes will set the company on the path to profitability.YBR announced on Friday that it had entered into definitive legal documentation with an affiliate of alternative asset manager Magnetar Capital relating to the establishment of a joint venture that will conduct a mortgage-backed securitisation business.The securitisation business, which will allow YBR to fund its own loans, will be conducted by Resi Wholesale Funding, which is currently a wholly owned subsidiary of YBR. Under the terms of the deal, YBR and Magnetar will each own 50 per cent of Resi.Magnetar is paying A$18 million for its share.Resi will be trust manager, servicer and sponsor of the securitisation business. It will have credit approval for a $120 million warehouse facility.Magnetar has given a conditional commitment to a further A$60 million of funding.Chicago-based Magnetar has US$12.9 billion of assets under management. YBR has also issued 40 million shares to a Magnetar affiliate to raise A$2.4 million of funding, giving the asset manager a 12.3 per cent stake in YBR.When the company issued its 2018/19 financial report last month, Bouris said that establishing a mortgage product had taken much longer and been more difficult than he expected."However, we are now well advanced in our negotiations to access the bank wholesale and debt capital markets to fund our own products."Once complete, we can enter the market with our own mortgage product. We will likely do this under the Resi home loan brand, which we own, and we will distribute through our YBR network and Vow aggregator platform."The company reported a net loss of $37.4 million, which included an asset write-down of $33.9 million on the wealth management and lending businesses. The loss the previous year was $658,000.Lending volume was down 19 per cent and revenue fell 6.8 per cent to $183.8 million. Cash flow from operating activities fell from $2.9 million in 2017/18 to $379,000 in the year to June.Operating expenses were up 5 percent. The increase was due, in part, to redundancy expenses.