Heard of blackmore bond?

the_stig

Hi All.
Newbie here! I was looking online the other day for investments and savings and came across blackmorebonds dot co dot uk

They are offering upto 9.9% interest per year for 5 year bond. I am struggling to find information about this company and was wondering if anyone on here knew about them?

I had an online chat with a chap there.

We are not regulated by the FCA and therefore not covered by the FSCS. We have our own security scheme in place. Would you like me to outline that for you?
[ME] yes please, i'd like to research.

We have a multi-level security scheme in place for our investors' protection. First, our investors have a legal charge over the assets of Blackmore Bond Plc. In the event of business insolvency then the sale of these assets go towards paying back our investors' capital. Should the sale of these assets not be enough to pay our investors back in full then our Capital Guarantee Scheme comes into play and covers investors for up to £75,000 of any shortfall there may be.

The insurance company they use is... .ion dot co dot cr

Address: Blackmore Bond Plc, Penthouse, Queensbury House, 106 Queens Road, Brighton, BN1 3XF.
Phone: 0800 131 0100
Company Registration Number: 10273135

I am not sure if this is a good deal or too good to be true!

dunstonh

I am not sure if this is a good deal or too good to be true!

Generally, yields reflect the risks of failure on the bond. 9.9% is very high because there is a very high risk of capital loss. Why would a company want to borrow money at 9.9% when they can get it cheaper from banks or markets? It will only be those that cant get borrowing from banks or markets at cheaper rates as there is a high risk of failure.

Forget any mention of unregulated protections as they are irrelevant. It is 100% loss potential.


Are you perhaps mixing up this unregulated, specialist very high risk investment not aimed at mainstream investors with fixed term deposits from the banks? If so, you are comparing chalk and cheese. Indeed, you shouldnt be comparing them as they are so very different.

You are also going way off the mainstream in the comparison as well. On a conventional 1-10 risk scale with 1 being cash and 10 being the highest risk regulated options, this would be a 13.

george4064

Never heard of it.

ColdIron

They have been discussed a few times such as here
You could lose all of your money, up to you

SavingisFun

My opinion?

Avoid.

the_stig

Thanks everyone, much appreicated

grey_gym_sock

dunstonh wrote: »

On a conventional 1-10 risk scale with 1 being cash and 10 being the highest risk regulated options, this would be a 13.

i thought it went up to 11?!

Furtwangler

If they cannot get a loan from the banks clearly they have problems. It says on the site if they go bust you lose all! To be avoided like the plague, better to bet on the Gold Cup!