Too good to be true?

Freddie_Allen

That's an amazing deal. But it seems risky... Please inform me if anyone is going to try this out.

fwor

Building your post count Freddie?

It's intended for UK investors, but you say you're based in Los Angeles.

It doesn't help at all for people to tell you whether they are going to try it. Knowing that other people are going to take a risk does not help you at all in assessing what level of risk is involved. It would only help if they came back in say 10 years time and said what the outcome was.

Freddie_Allen

fwor wrote: »

Building your post count Freddie?

It's intended for UK investors, but you say you're based in Los Angeles.

It doesn't help at all for people to tell you whether they are going to try it. Knowing that other people are going to take a risk does not help you at all in assessing what level of risk is involved. It would only help if they came back in say 10 years time and said what the outcome was.

Yes.. Want to make my post count as you have. lol just kidding

dunstonh

Freddie_Allen wrote: »

Yes.. Want to make my post count as you have. lol just kidding

So, why not tell us what you think it is an amazing deal?

100% loss potential. No FSCS protection. Extremely high risk. It isnt even a retail financial product. It is a financial instrument (i.e. not aimed at retail consumers).

So, what bit of that appeals to you? Other than greed which is what most of these play on as greed dumbs the braincells.

Freddie_Allen

dunstonh wrote: »

So, why not tell us what you think it is an amazing deal?

100% loss potential. No FSCS protection. Extremely high risk. It isnt even a retail financial product. It is a financial instrument (i.e. not aimed at retail consumers).

So, what bit of that appeals to you? Other than greed which is what most of these play on as greed dumbs the braincells.

I'm not much into investing or financial deals. I'm learning and trying to gain knowledge about all these. 9% interest rate is what made it interesting for me. and also if we can withdraw it after 3 years.

planteria

i know nothing about CautaCapital, and i have no interest in buying their bonds, but..

Malthusian wrote: »

Royal Bank of Scotland bonds are 9%..

is interesting. are they at risk of becoming worthless, and investors losing all of their capital?:think:

Malthusian

planteria wrote: »

are they [RBS bonds] at risk of becoming worthless, and investors losing all of their capital?:think:

Yes. If RBS goes bust you lose all your money. That's how corporate bonds work. Why the chin-scratching emoji?

dunstonh

is interesting. are they at risk of becoming worthless, and investors losing all of their capital?

Yes. And with ringfencing of retail banking in place, the Govt will no longer have to step in and rescue a bank. It can let the rest of the bank fail with no direct impact on consumers.

9% interest rate is what made it interesting for me. and also if we can withdraw it after 3 years.

It is not like a fixed term deposit. It is like a loan. If they fail to repay then you would get back less and if they go insolvent, you could lose the lot. Many of these have failed over the years including a few high profile ones in recent years. Is 9% really worth it for something you can lose the lot in?