Fortress Investment Group’s portfolio ranges from home equity, portable toilet providers, and litigation funding. Image Source: CFI

The capital will support the expansion of Cornerstone’s CHEIFS product, which allows homeowners to convert part of their property’s equity into cash without taking on debt, interest or monthly payments. The funding is expected to help Cornerstone grow its presence across the United States and scale its infrastructure, adviser networks and securitization capabilities.

CHEIFS has been promoted as a tool for financial planning, offering access to equity that can be used for retirement income, insurance strategies, long-term care coverage and other financial needs. With operations now in 20 states, the company says the agreement with Fortress will accelerate its reach and allow more homeowners to deploy equity in ways that differ from conventional loans or lines of credit.

The deal comes at a time when Fortress is increasing its involvement in a wide range of unconventional assets. Earlier this year the investment group assumed control over the global litigation-funding portfolio of Therium Capital Management, exemplifying a growing interest among traditional institutional investors in litigation financing and potential diminishing of specialized litigation funders. As such, Fortress is assuming responsibility for an undisclosed number of costly cases across multiple jurisdictions. While speculative, Fortress will likely implement a level of oversight and vetting that some insiders say was egregiously lacking at Therium.

“Fortress will likely implement a level of oversight and vetting that some insiders say was egregiously lacking at Therium.”

Taken together, these developments point to an observable trend: Fortress is becoming a major player in markets that sit outside traditional finance, from legal claims to homeowner equity.

This trend has prompted concerns among some observers. One issue is that when home equity is treated as an investible asset by large financial institutions, homeowners may find themselves navigating agreements shaped primarily by return metrics rather than long-term household security. CHEIFS may suit many households seeking flexible liquidity, but its structure means homeowners exchange future value for present cash. Analysts note that this model, while innovative, also shifts some of the benefits of housing appreciation toward investors. This is not a criticism unique to Cornerstone, but part of a broader debate around equity-sharing products.

Similarly, Fortress’s new role in litigation funding has raised questions about how their strictly financial criteria may influence case management and the interests of its clients. Speculation remains on whether claimants will face negative outcomes—such as reduced support, pressure to settle, or even pressure to continue litigation to recoup the funder’s investments. Attention has been increasingly drawn to such conduct by litigation funders like Therium and Innsworth, pointing to the inherent tension between profit-focused oversight and the unpredictable nature of long-running disputes.

Attention has been increasingly drawn to control over cases, legal counsel, and claimants by litigation funders like Therium and Innsworth.

What worries some commentators is the combined effect of these moves: the expansion of institutional power into areas that directly affect individuals’ financial stability and access to justice. The presence of large investment firms can bring discipline, liquidity and scale, yet also distance from consumer needs paired with a significant level of influence over assets as personal as homes and legal claims. For homeowners, the shift means equity is no longer only a buffer or a long-term family asset but part of a financial product tailored to investor appetites. For litigants, funding may increasingly depend on assessments aligned with portfolio-level performance targets.

Fortress’s growing activity across alternative assets highlights both the opportunities and the risks that come with financial innovation. But the concerns are grounded in longstanding debates: who ultimately gains when personal assets become investment vehicles, and what safeguards exist to ensure that homeowners and claimants are not disadvantaged?

REFERENCES

Fazelpoor, M. (2025, November 25). Cornerstone lands $1B financing deal with Fortress. NJBIZ. https://njbiz.com/

KnowSulu.ph. (2025, June 17). Fortress Investment Group takes over Therium’s litigation portfolio in major industry shake‑up. https://knowsulu.ph/

KnowSulu.ph. (2025, July 18). Therium’s gamble: How big money still breeds big losses in litigation funding. https://knowsulu.ph/

KnowSulu.ph. (2025, July 4). What comes after the July 7 Sabah arbitration ruling? https://knowsulu.ph/