Securing Wholesale Funding - The Cheapest Capital on the Planet
Switzerland has become the first government in history to sell its’ benchmark 10-year bond at a negative interest rate, as unprecedented action by the world’s major central banks send global markets into unknown territory. The rush into European bonds generally is the consequence of the global slide in inflation, which has made it easier for investors to accept negative yields as they expect prices to rise slowly in the future. Prices in Switzerland fell by 0.9% in the year to March 2015, while inflation in the Eurozone was -0.1%.
Given that for the first time, Swiss investors were effectively charged for lending money to a government for such a prolonged period, the Swiss are hunting global yield. This fact makes Australia - despite recent cuts by the Reserve Bank of Australia - an attractive proposition, with relatively high interest rates, a stable economy (S&P AAA), and an oligopolistic banking sector.
Greenard Willing has recently secured a funding agreement for a wholesale margin lending product from Switzerland which can deliver AUD rates below 4.00% on loans >$5M.
Please ask us for a rate quote, and you might be pleasantly surprised.
We are also looking for pre-revenue companies that require debt financing of >AU$10M. So, if you have any projects that need debt / hybrid financing, or are seeking a line of finance secured against assets (including R&D / government grants), please give us a call or contact us at marginlending@greenardwilling.com
Services Australia
9yHi Glenn, we need to catch up soon.