Prospective Bondholders should consider carefully the following key risk factors in relation to an investment into the bond in addition to the other information presented in the Information Memorandum. Before making an investment decision, prospective holders of Bonds should (i) ensure that they understand the nature of the Bonds and the extent of their exposure to risk; (ii) consider carefully, in the light of their own financial circumstances and investment objectives (and those of any accounts for which they are acting) and in consultation with such legal, financial, regulatory and tax advisers as it deems appropriate, all the information set out in the Information Memorandum so as to arrive at their own independent evaluation of the investment and (iii) confirm that an investment in the Bonds is fully consistent with their respective financial needs, objectives and any applicable investment restrictions and is suitable for them. The Bonds are not a conventional investment and carry various unique investment risks, which prospective holders of Bonds should understand clearly before subscribing in them. In particular, an investment in the Bonds involves the risk of a partial or total loss of investment.
Your Capital Is At Risk
With investment in our bond your capital is at risk. The value of your investment can go down as well as up. You may get back less than you invested.
No FSCS protection
The bonds that you will invest in are issued by Raptor, which is unregulated as are the bonds. Therefore, losses incurred by the would not be protected by the Financial Services Compensation Scheme (“FSCS”). Additionally if Raptor ceases to exist or goes into liquidation you would not be able to put in a complaint through the FSCS to be compensated for loss of capital and interest.
Exposure to external events
The trading and assets of Raptor, Raptor Raptor Capital International Limited, Raptor Capital International Limited or Gold Streaming Raptor Limited could be affected by unforeseen events outside its control, including economic, social and political events and trends. These include changes in economic, political, administrative, taxation or other legal or regulatory regimes, terrorist or other attacks, inflation, deflation or other currency exchange fluctuations.
Security may be insufficient to repay the Bondholders
Whilst security is taken over the assets of the firms Raptor lends to, the underlying assets of the firms over which a charge has been granted may be insufficient to repay Raptor. In that situation Raptor may not repaid in full or at all and in turn would be unable to pay what it owes to Bondholders.
Bonds will be difficult to transfer
The bonds you will invest in are non-readily realisable investments and are not listed. Investment through in the Raptor bond must be viewed as a long-term investment. It may be possible for the bonds to be sold but it may be difficult to sell the bonds held.
There is a risk with investment in non-listed bonds of the potential failure of the issuer (Raptor). Cash flow issues may also lead to delay or non-payment of interest instalments or the inability of the issuer to buy back the bonds at the point of maturity.
Diversification means spreading your investments across different asset classes and sectors. All investments through in Raptor will be in bonds, you should be aware that all monies invested will be in the same sector and through the same asset class. You should consider spreading your investment risk and seek independent advice when you are not sure if an investment is suitable. You are not able to invest more than 10% of your net assets in the Raptor bond unless you are a high net worth investor, a certified sophisticated investor or a self-certified sophisticated investor.
Past performance of financing is not necessarily a guide to future performance. Past events, experience derived from these, or assumptions derived from any of these, do not predetermine the future.
The Company’s business strategy
Raptor’s business plan is based on assumptions about market performance and predicted future trading of its current and proposed business activities. The Company considers these assumptions to be reasonable, but it is inherently subject to variation and uncertainty. There is no certainty that all or any of its business plan will be fulfilled, that the outcome of the Company’s strategy will be as anticipated or that The Company will achieve the required level of profitability or sufficient cash flow to achieve its stated objectives.
You should be aware that if the return on the bond fails to pay a return that beats inflation, the real value of your investment could fall