All you need to know

About Corporate Finance Bonds Ltd.

Corporate Finance Bonds Ltd was established in June 2015 and is the issuer of a £500m Secured Note Programme. The programme was approved by the Irish Stock Exchange on 21 June 2016 with a mandate to raise investor capital to lend in the asset based lending market. Each Series of bonds issued under the programme must invest in at least five such secured loans.

Professional investors in the bonds seek a higher yield and capital security – this is achieved through the high interest rates that corporate borrowers are prepared to pay for access to capital and the security they provide, being typically a registered debenture.

Each issue is segregated and secured against the assets relevant to it. This protects investors in each.

Individual Series can be issued every 4 to 6 weeks with anticipated issuance of £125m by end of 2018. Investor support is secured by virtue of the Programme enjoying the following key features as a "mainstream asset" for regulatory purposes:

 

Key Features

Approved Exchange

Listed on a one of the major exchanges for debt – a recognised HMRC approved exchange.

Electronic Clearing

Enabled for electronic clearing through Crest, Euroclear and Clearstream to facilitate worldwide trading.

Security

Security Trustee oversees legal rights to securitised assets.

Liquidity

Liquidity provided through secondary market on matched bargain basis.

Valuations

Valuations through Bloomberg and Financial Express.

Diversification

Diversification within each Series and opportunity to invest in multiple Series.

 

The programme is issued through a UK private limited company with no assets or liabilities other than the securitisation package developed for each Series of Bond issuance.