How to List Bonds from CANADA and financing with Frankfurt Stock Exchange Listings
The ideal way to fund a company from CANADA is the process of creating securities by pooling together various cash-flow producing assets. The securities are then sold to investors, securitization, in its most basic form is a method of financing assets. FSE Listings in CANADA focuses on creating the securitized bonds. The process is relatively straight forward:
– Fill-in the corporate documents to see if you qualify, including business plan and any
third party valuations
– Analyze whether the cash flow can service the securitization
– Perform the third party valuation of the company and sign-off by a Lawyer on the
documentation
– Listing of the company, such as a Stock Exchange Listing
– Insure the bundle of assets and the stock exchange listed shares into a Bond
– Utilize a network of sophisticated institutional investors looking for AA Rated Bonds
of this nature
The entire process takes 9-10 weeks, including listing, bonding, financing, and receipt of funds.
Any asset may be securitized as long as it is cash-flow producing. Shares and assets are generally cash-flow producing. Carbon credits in their own right can be considered cash flow producing, sales projects, production such as in Oil, Gold, Silver, Copper, mining is cash flow producing.
In the current economic environment, the assets and cash flow of a company from CANADA is not enough to instill confidence in the investor. Shares in their own right are cash flow on the basis that a market can be made, and the public will purchase the shares. On this basis, the shares offer a higher level of cash flow than in a private company. The concept of bundling the listed firm’s shares with the assets and cash flow of the company
to finance the firm is not unique, what is unique is that FSE Listings Inc can list the firms shares on the Frankfurt Stock Exchange in 3-6 weeks, insure the firm in 3 weeks, and finance the company immediately upon becoming a bond through the financing network.
Cash flows generally are the underlying financial assets which serve as the principal source of payment to the investors, whereby the securitization basically allows for upfront unding of assets and development of the company now based on future cash flows to service the funding, such as an asset and share backed securitized bond giving a 10% rate of return guaranteed.
The asset and cash flow based bonds secured by corporate shares, insured by an insurance firm for a return on investment is a AA rated bond, not a junk bond as most corporate bonds turn out to be in CANADA.
Companies sell bonds when they want to borrow money to grow our expand their business, the process is qualifying the ability to service the promises to the investor for the interest payments and maturity at a future date. The specialized Bonds that work best for projects from CANADA have secured assets and shares which can be seized if the company fails to pay interest or return the original principal amount when the bonds matured, the
difference and competitive advantage is that the return on investment is also insured for investors, so the risk is less than a typical bond making it more attractive and easier to finance your firm from CANADA.
Unsecured debts which are convertible into shares are most commonly known as convertible debentures. The difference between purchasing a convertible debenture and purchasing asset and shares backed bonds that are insured, is no matter the price of the shares of the company, the investment is based on cash flow servicing the debt and the assets. Debentures run the risk of an illiquid market. Debentures merely promise you the funds, but there is no guarantee accept the conversation into shares at best.
How they Work?
FSE Listings Inc’s team performs the typical listing services, but prior to doing so, they have qualified your firm by you contacting info@fselistings.com. The bonds are created within 20 days of listing on average, and are available to the investor to purchase. The investors are institutions and or high net worth individuals who are sophisticated in shares and bonds, or investment in general. For the most part, sophisticated investors could contact FSE Listings Inc for access to new clients who are listing their companies and creating bonds, for the most part it is a well-known fact that in order to access corporate Bonds, you generally need to know someone within the project. In addition, with the bonded investment, the companies can offer the Bonded investment options to their current shareholders and investors.
The Risks of Corporate Bonds
Corporate bonds are risky if the company goes out of business, but in the case of FSE Listings process, the listed company shares and assets, as well as insurance void most of the risk of a business going out of business. In the event the company delists and goes out of business, the assets of the company would be in priority to the Bond holder. In actual fact, being a holder of an FSE Listings based Bond is actually more preferable than a
shareholder in the pecking order or to whom the assets would belong to in the even a company goes out of business. The difference is, that investors in shares can buy nearly any value they would like, Bonds generally are 50,000 euro or higher. Government bonds pay based on the cash flow they can supply by levying taxes, corporations are on cash flow, however, Governments cannot justify high yield bonds. Businesses with cash flow and profits can generally give returns up to 10-15%. Bonds can be sold like shares, often at a discount of the interest. Since corporate bonds have more risk, they pay higher returns and often get funded faster than shares which have no guarantees and loans which require more history from the firm taking a loan. Bonds are given based on a new firm or old firm passing the cash flow qualifications.
Warren Buffett, the world’s most successful private investor, once said that a rule for private investors was to “invest in companies you really like”.
For most Britons, the names they see on the high street every day are those which inspire confidence and loyalty – from big-name retailers to, yes, even banks. Familiarity breeds not contempt but investor interest.
However, in this last recession and financial crisis, the big names lost more than most developing or emerging market countries. The most secure investment for them is the listed bond process.
Bond markets are open to both institutional and individual investors, but there is much more participation generally by institutional investors than individual investors. European individual investors in bonds represent less than 5% of the direct investment in the European bond markets. The majority of bond market participants in Europe are institutional investors, such as pension funds, insurance companies and banks.
These are the same institutions that FSE Listings Inc traditionally would take companies on Roadshows to make private placement investments into firms, who now prefer the security of receiving a guaranteed return on investment with the shares and assets as collateral versus just shares and a CEO’s word. Thus, the listing of shares and creation of the Bond is actually more successful at financing a firm than writing a prospectus or
investment memorandum and relying on a Broker or IPO. The listing and bond process is the most effective form of financing in today’s market, and the ideal security for investors to seek a return on investment.
Thus, if your CANADA firm is looking for financing and going public on a stock exchange such as a Frankfurt Stock Exchange listing, than you should not hesitate in contacting FSE Listings Inc. If your firm is looking for a Bond financing method, in addition, contact us today, we are the leaders in our field.
Contact info@fselistings.com or call +19146133889