Typically investments in senior secured corporate loans or bonds are only available to very large banks, pension funds and specialist funds. In order to gain access to this asset class individual investors usually have to use brokers and/or invest in specialist debt funds and are often charged substantial upfront fees and ongoing management and performance fees.WiseAlpha is an online investment platform offering its members access via Notes to senior secured loan or bond investments in some of the UK's leading companies. They replace the substantial costs and complexity of investing in specialist credit funds with a simpler and more cost effective way to invest.
Until now, the corporate loan and bond market has remained largely untransformed by technological innovation but wiseAlpha is now making this asset class accessible to a wider investment audience.
Why invest with WiseAlpha
To ensure that high quality corporate debt investments are accessible to all investors (subject to qualification) so that investors can earn income by gaining exposure to some of the UK's leading companies. They operate an online business model without the bonus driven structures of banks and funds. By allowing members to manage their own exposure to individual corporate loan Notes WiseAlpha avoid the costs and complexities of the fund and banking systems, and allow investors retain the potential savings.
WiseAlpha do not solicit, structure or issue loans or bonds on behalf of companies looking to borrow. Instead the platform lists investments where the underlying loans have already been issued by major international banks for British corporate borrowers that are often an established leader in the field in which they operate. They allow members to select which companies they want to invest in. The loan or bond investment is already structured and in place, ready for members to buy into by way of Wise Alpha Notes.
The loans and bonds listed are an alternative investment opportunity to unsecured consumer or small business loan or bond based investments which can often be more opaque and potentially of a higher risk. The underlying loans or bonds that back their Notes have security, strong covenants and protection for lenders. Over time WiseAlpha aim to create a "secondary market" for members to buy and sell from each other.