shimself
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Post by shimself on Oct 8, 2017 9:10:56 GMT
I've seen that one particular turbine loan takes up over 20* of the GEIA. #356 W*****l Loan, W******l No 3 Ltd.
Loans to that particular borrower W******l No 3 Ltd now constitute around 60% of the GEIA
That sounds like over concentration to me. Are there any GEIA rules to cover this, and if not should there be?
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jonah
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Post by jonah on Oct 8, 2017 19:18:49 GMT
Whilst the GIEA looks to avoid of concentration for loans, it ignores linked loans, meaning you could have a lot from one borrower. For example the Kxxxxxxx loans which recently repaid were all interlinked. My GEIA had parts of several of them.
Given the limited nature of GEIA and the tendency for energy producers to have several sites, each with a dedicated loan, this issue is probably a lot more prevalent than GBBA. That said, if the LTVs are ok and the PF stands up, you should still get your 7%.
Hopefully!
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Post by GSV3MIaC on Oct 8, 2017 20:21:32 GMT
At the end of the day you are always going to be investing in a closely linked field .. one government backing the FIT (or maybe, one day, not), a limited set of installers, an even more limited set of equipment suppliers (for any particular flavour like wind, or solar), all susceptible to the same hurricane (should it re-occur) .. you can't ever be 'properly diversified' by sticking your huge wodge all into GEIA .. but at least it's a change from London property development.
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