Good idea to buy Irish Bonds?

geek84

Hi Folks

Is it a good idea to buy Irish Bonds, which I am told, work similar to UK's Premium Bonds, except that you have more chances of winning a prize if you enter the Irish Bonds?

Thanks

invalid_username_2

I'd be worried about sending over ANY money to ireland. They are the next Greece/Italy/spain

Ark_Welder

They're called Prize Bonds, just in case anyone was thinking about Sovereigns (as I was to start off with!)

digerati

geek84 wrote: »

Is it a good idea to buy Irish Bonds, which I am told, work similar to UK's Premium Bonds, except that you have more chances of winning a prize if you enter the Irish Bonds?

First, take what you have been "told" with a grain of salt. When you are investing your money you need to do your own research. Check that Irish Prize Bonds are registered for sale in the EU and what kind of guarantee is behind you getting your principal back. Government guarantee? Standard & Poor's rating? What is the payout ratio, and how does it compare to Irish term deposits or debt instruments?

As I see it, you face two potential dangers - currency risk (unless you already have Euros) and possible loss of capital (principal) should the backer of Irish Prize Bonds go bust or default (as Greece likely soon will).