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Post by Deleted on Aug 26, 2018 21:41:29 GMT
So I've had my invite to register for the launch of Chiltern BondCo in association with Bondmason Absolute Return Bonds.
3yrs 3.85%
1yr 3.35%
A little disappointing perhaps but on the plus side can be held in an IFISA and has an equity cushion (sounds comfortable)
My query is, with Bondmason very keen to state they have largely moved away from P2P, what are the closest comparisons to this product that are already out there outside the P2P sphere?
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zlb
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Post by zlb on Aug 29, 2018 13:44:18 GMT
So I've had my invite to register for the launch of Chiltern BondCo in association with Bondmason Absolute Return Bonds. 3yrs 3.85% 1yr 3.35% A little disappointing perhaps but on the plus side can be held in an IFISA and has an equity cushion (sounds comfortable) My query is, with Bondmason very keen to state they have largely moved away from P2P, what are the closest comparisons to this product that are already out there outside the P2P sphere? maybe try this question in the general p2p thread on alternatives to p2p, as similar products to this new one could fit there... Just an idea.
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Post by stevefindlay on Aug 30, 2018 6:44:47 GMT
The bonds are designed to be competitive for those wanting a higher return than cash savings accounts, with a bit more risk, not a lot more risk.
Amongst other features:
- we are putting in place 2% loss coverage - which is 5x our total losses over the last three years (40bps); or about 15x the annualised loss ratio.
- diversified: minimum 100 loan positions, although likely to be closer to 500+
- secured: max LTV of 75%, although like to be closer to our current portfolio of 58% LTV.
We're not looking to chase high rates with these bonds. Bear in mind the risk when seeking to compare with others. Not all bonds are the same...
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zlb
Member of DD Central
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Post by zlb on Sept 17, 2018 13:47:26 GMT
Comparison should include the fact that it's £50 to close an IFISA and £100 to transfer out. This is quite significant.
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