School Debenture

  1. #1

    Join Date
    Feb 2009
    Location
    hong kong
    Posts
    11

    School Debenture

    We have been offered a personal debenture for $800,000 which allows us not to have to pay for an annual capital levy of about $28000 per year. This is about 3.5% return. I dont see any reasons to buy one, does anyone see any reasons why buying one is good idea?


  2. #2

    Join Date
    Jul 2013
    Posts
    10

    from day 1, i have no idea what is all that about!
    just an other reason to earn the money for the school!


  3. #3

    Join Date
    Apr 2012
    Posts
    37
    Quote Originally Posted by thundacatchergo
    We have been offered a personal debenture for $800,000 which allows us not to have to pay for an annual capital levy of about $28000 per year. This is about 3.5% return. I dont see any reasons to buy one, does anyone see any reasons why buying one is good idea?
    that's 3.5% you are gonna be down every year. Plus capital levies are subject to change every year (i.e. as in it will rise every year). At least you can sell the debenture on, though be careful to read the terms and conditions of sale and purchase to check there are no admin costs involved in this exchange.