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  • FIRST POST
    • h11tsr
    • By h11tsr 7th Feb 18, 11:47 AM
    • 4Posts
    • 1Thanks
    h11tsr
    Grove Developments Property Fund
    • #1
    • 7th Feb 18, 11:47 AM
    Grove Developments Property Fund 7th Feb 18 at 11:47 AM
    Hi

    Has anyone come across the Grove Developments Property Fund?

    They claim to pay up to 12.8% interest on a 48 month bond, but also as much as 10.9% for a 12 month bond. This seems to good to be true and as my dad always used to say to me ....

    The prospectus is nicely packaged, the website looks professional (grove-fund.co.uk), they are a registered limited company, they list some properties that were built using previous bond funding and they offer assurances of security and protection of investor capital but should I be worried about investing? What sort of questions should I be asking to identify if this is a genuinely safe investment product or if I should run a mile?

    Regards
Page 1
    • Aegis
    • By Aegis 7th Feb 18, 12:13 PM
    • 4,867 Posts
    • 3,058 Thanks
    Aegis
    • #2
    • 7th Feb 18, 12:13 PM
    • #2
    • 7th Feb 18, 12:13 PM
    Wouldn't touch it with a barge pole. The rate is far too high to be anywhere near as safe as the website would have you believe, and they're probably paying you "interest" from your own capital.

    Your capital will certainly be at risk of significant reduction, so this should not be seen as anything like a safe investment, where you have capital guarantees and about 1-1.5% annual interest.
    I am an Independent Financial Adviser
    Anything I say on the forum is for discussion purposes only and should not be construed as personal financial advice. It is vitally important to do your own research before acting on information gathered from any users on this forum.
    • dunstonh
    • By dunstonh 7th Feb 18, 3:50 PM
    • 92,221 Posts
    • 59,391 Thanks
    dunstonh
    • #3
    • 7th Feb 18, 3:50 PM
    • #3
    • 7th Feb 18, 3:50 PM
    They claim to pay up to 12.8% interest on a 48 month bond, but also as much as 10.9% for a 12 month bond. This seems to good to be true and as my dad always used to say to me ....
    The yield being that high suggests a very high risk of failure.

    they are a registered limited company,
    So could you be in a couple of days. It doesnt mean anything.

    they offer assurances of security and protection of investor capital but should I be worried about investing?
    There wont be any FSCS protection and any so called security will only exist if they do and have the money to pay out.

    What sort of questions should I be asking to identify if this is a genuinely safe investment product or if I should run a mile?
    It isnt even a retail financial investment. It is a 100% loss potential high risk unregulated direct investment.

    On a typical 1-10 scale (where 1 = cash and 10 = 100% equity), this would be 12.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • grey gym sock
    • By grey gym sock 7th Feb 18, 4:00 PM
    • 4,274 Posts
    • 3,794 Thanks
    grey gym sock
    • #4
    • 7th Feb 18, 4:00 PM
    • #4
    • 7th Feb 18, 4:00 PM
    On a typical 1-10 scale (where 1 = cash and 10 = 100% equity), this would be 12.
    Originally posted by dunstonh
    so this would be too risky for nigel tufnel. that's something to ponder.
    • bostonerimus
    • By bostonerimus 7th Feb 18, 4:06 PM
    • 1,696 Posts
    • 1,092 Thanks
    bostonerimus
    • #5
    • 7th Feb 18, 4:06 PM
    • #5
    • 7th Feb 18, 4:06 PM
    Haven't heard of them and know nothing about them. Still I would never invest with them or any other firm offering such returns. So run a mile!!!!!!! Burn the glossy brochure and don't bother to waste your time on another piece of such rubbish. Stick to regulated funds traded through reputable platforms on major exchanges.
    Last edited by bostonerimus; 07-02-2018 at 4:08 PM.
    Misanthrope in search of similar for mutual loathing
    • badger09
    • By badger09 7th Feb 18, 4:08 PM
    • 5,941 Posts
    • 5,281 Thanks
    badger09
    • #6
    • 7th Feb 18, 4:08 PM
    • #6
    • 7th Feb 18, 4:08 PM
    so this would be too risky for nigel tufnel. that's something to ponder.
    Originally posted by grey gym sock
    I had to look up Nigel Tufnel but for some reason I read it as Phil Tufnell.
    • badger09
    • By badger09 7th Feb 18, 4:11 PM
    • 5,941 Posts
    • 5,281 Thanks
    badger09
    • #7
    • 7th Feb 18, 4:11 PM
    • #7
    • 7th Feb 18, 4:11 PM
    If I was feeling lucky, which I'm not I'd go for the 12 month option.

    On the grounds that the pain would be over that much sooner - a bit like ripping off a plaster
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