Credit Suiisse 2.7% bond

Enigmaman

An elderly relative has asked me whether an 18 month Bond from credit Suisse with 2.7% is genuine. Series SPLB2016-0KB1.
Apparently they looked at Investments on a well-known comparison site and that has led to a number of calls from various brokers. 
It certainly looks plausible but Google does not help much here and 2.7& seems suspiciously high.
Does anyone see any reason for suspicion?   

Albermarle

Sometimes the bond is genuine but the brokers trying to sell it are not. Or they say it is guaranteed or 100% safe when it isn't .
Legit financial investment companies do not cold call you or generally harrass you to buy over the phone,
Apparently they looked at Investments on a well-known comparison site
Which one ?

Thrugelmir

Unlikely to be an 18 month bond. More likely to the time left to maturity. The fact that brokers are ringing immediately sets red flags waving. Existing corporate bonds aren't marketed and sold in this manner. 

The coupon will be real. The amount you'll need to pay however won't result in this yield. Stick to MSE for recommendations. Don't go off piste. 

cattie

I'd never respond to any such calls from brokers. If you can't find the details of such an account on any well known bank or investment company's own website then avoid as it's far too easy to be scammed.

xylophone

https://www.credit-suisse.com/uk/en/asset-management/news-and-insights/investment-themes/fixed-maturity.html?t=207_0.1305128998681353

This type of thing? And only available through an intermediary.

Risks

• Bonds carry the risk of default; if the issuer defaults or goes into liquidation, investors may lose some or all of their invested capital.
• The investments are subject to market fluctuations.
• There is no guarantee for the level of coupon payments or the value of the investments at maturity or at any other time. 

Alexland

The unrelated scammers calling them will just steal the money it won't get invested in any Credit Suisse bond.

xylophone

And I wonder whether your relative thinks that the above is on a par with a standard bank/ building society fixed rate bond (see below). 
Because it isn't of course......and the rate offered reflects this...

https://www.thisismoney.co.uk/money/article-1621507/Best-savings-rates-Fixed-rate-accounts.html

doe808

This is a scam. Nothing more.

Sadly whatever site they had been on will result in many more of these calls. Make sure they avoid.

Which site was it by the way?  Its important.  That may have been a scam site too.

ivormonee

Enigmaman said:

Apparently they looked at Investments on a well-known comparison site and that has led to a number of calls from various brokers.

If you tell us the site we can have a look. We'd be in a better position to provide an opinion.

csgohan4

if it's from Facebook/ social media, it's a scam

dunstonh

Apparently they looked at Investments on a well-known comparison site

I bet they didn't.  Every time someone says they did that, when we view the site they look it up on its a scam/clone site.

It certainly looks plausible 

The bond is real but it's not a retail product.    It is a 100% loss potential investment with no FSCS protection and not meant to be proactively retailed.

However, it doesn't matter as they wont be selling that bond.   They will be taking the money and running off with it.