Can I have multiple Innovative Finance ISAs?
No, you can only have one IFISA per tax year. However, this does not preclude you from having a cash or stocks or shares ISA as well.
Do I need to declare my Innovative Finance ISA returns on my tax return?
No. Due to the tax-free wrapper, you do not need to declare returns from your IFISA Bond on your tax return.
What is an Innovative Finance ISA (IFISA)?
The UK government introduced the Innovative Finance ISA (IFISA) on 6th April 2016. The “IFISA” allows individuals to use some (or all) of their annual ISA investment allowance to lend funds through the growing marketplace lending market, while receiving tax-free interest and capital gains. Ordinary investors should only invest up to 10% of their net liquid assets in bonds such as those issued by Basset & Gold.
What is the difference between an IFISA and other ISAs?
An Innovative Finance ISA, unlike a cash or stocks and shares ISA, allows you to invest in marketplace lending without paying tax on the subsequent returns. You may only invest 10% of your net liquid assets. Capital at risk.
Are there any insurance schemes for my investment?
No. Your investment performance is not protected by any type of insurance and repayment is not covered by the FSCS. However, if we do not promote the bonds to you in accordance with FCA rules, any liability we owe you is covered by the Financial Services Compensation Scheme (FSCS) regime up to a maximum of £50,000 per investor. (You can read more about our FSCS coverage here.)
Are you covered by the FSCS?
If B&G Finance did not comply with its regulatory obligations in arranging for you to acquire the bonds and was not able to pay compensation that was due to you as a result of its compliance breach, then, if you are an eligible claimant, the FSCS may pay up to £85,000 per person. The FSCS would not cover B&G Finance Ltd. if it had complied with its regulatory obligations. Please see our FSCS page for more information on our FSCS coverage.
Are you offering government bonds?
No, the Basset & Gold bonds are not government bonds. They are corporate bonds, issued by Basset & Gold Plc.
Can I invest?
We only accept UK residents over the age of 18 and UK registered companies, trusts, and SIPPs. If you fall into any of these categories then yes, you can invest from as little as £1,000, subject to eligibility and appropriateness.
Can I swap a bond during its term?
Swapping a bond means redeeming one bond and purchasing a new one. This action will require you to follow the redemption process.
Can I top up a bond?
The bond application window ends on the last working day of the month at 17:00. This allows for your investment to start earning interest the very next day without any investment lag. You can top up your bond during the same month. You can always apply for another bond the month afterwards. There are no costs involved in the process.
Can I withdraw from my ISA?
The money you are sending into your ISA account is used to purchase a Basset & Gold Bond. The bonds on offer for purchase through an ISA account are not redeemable (unless through the use of terminal illness redemption) but can be transferred to someone else. As there is no market for these kinds of bonds, you will only be able to transfer them to someone else that you know and will be eligible for this investment.
Can I withdraw money from my IFISA Bond at any time?
Clients are not able to withdraw capital.
Do I have to be a UK citizen to invest in Basset & Gold’s Innovative Finance ISA Bond?
Yes, due to ISA regulations, you do have to be a UK citizen to invest in Basset & Gold’s Innovative Finance ISA.
How are you able to offer such good rates?
Basset & Gold provides financing to FCA regulated UK lending platforms. Because we lend direct to those platforms and charge no fees to investors, we are able to pass on higher rates to our investors.
How do I send you my funds?
We are currently accepting only bank transfers and cheques. After completing your application online you will receive full details on how to proceed with sending your funds, whether you want to send a cheque or make a transfer. This will be followed up by email as well.
How do I set up a Basset & Gold Innovative Finance ISA Bond account?
We understand that your time is valuable, which is why we ensure that applying online for a Basset & Gold IFISA Bond is an easy process for all our investors. Investors will then have their own dedicated relationship manager to ensure that the service they receive is second to none.
I don't pay tax. Will I pay tax here?
Yes. We are required by HM Revenue & Customs to tax the interest at source. However, if you are a non-taxpayer, we will provide you with a monthly R185 (through your personal account area) which you can use to claim your tax back.
If you choose to invest in our IFISA Bonds you will not pay tax.
Is it possible to transfer a Cash or Stocks and Shares ISA into an IFISA Bond?
Yes, it is transferable. You can transfer your funds from your cash or stocks and shares ISA into an IFISA Bond, subject to ISA limits.
Is my money safe?
As with any other type of investment, there are no free bets; therefore, your capital is at risk.
Is the interest fixed?
Yes, the interest is fixed for the term of the bond. The products and interest rates of products on offer may change from time to time.
Is there a Concentration Risk in Basset & Gold Plc?
Yes. There are two types of Concentration Risk that could be associated with an investment in Basset & Gold Fixed-Income Bonds. First, if an investor were permitted to place high proportion of their savings into Basset & Gold Fixed-income Bonds, they would be heavily exposed to Basset & Gold Plc’s insolvency. Second, if Basset & Gold Plc invests heavily in a small number of underlying investments, its ability to service the Bonds will be heavily dependent upon the performance of each individual investment. At present, Basset & Gold Plc invests predominantly in an FCA-regulated consumer lender. The FCA-regulated consumer lender has tens of thousands of loans. Basset & Gold Plc benefits from a corporate debenture over all of the lender’s assets, including all of the loans.”
Is there a limit on how much I can invest in the Basset & Gold Innovative Finance ISA Bond?
There is no limit to the amount that you can invest in the IFISA Bond. You can invest up to 10% of your net liquid assets which may be up to £20,000 for the 2018/19 financial year, and you can still transfer funds from your existing ISAs into the IFISA Bond.
What are the benefits of the Basset & Gold Innovative Finance ISA Bond?
One of the key benefits of an Innovative Finance ISA is that the interest and capital gains that are generated are tax free. Secondly, higher rates of interest are often available to IFISAs than regular cash or stocks and shares ISAs. This means the opportunity for greater returns is higher than in regular ISAs, although the comparable risks are higher.
What are the fees involved?
We charge a fee to our borrowers, not investors. We do not charge investors any fees or add any charges. Our profits are predominantly as a result of the returns generated from our financing activities. We charge a 20% fee to our borrowers which is paid to a third party connected company. This is disclosed in the Investment Memorandum to eligible investors, and highlighted in the application process.
What happens if B&G Finance Ltd goes bust?
This will not affect your entitlement to the payment of sums due from Basset & Gold Plc. If B&G Finance Ltd owes you money at the time of its insolvency because you have a claim against us for having broken FCA rules, then you may be an eligible claimant from the Financial Services Compensation Scheme if you constitute an eligible claimant.
What happens if Basset & Gold Plc goes bust? How do I recoup my investment in this case?
If Basset & Gold goes bust then you would be an ordinary creditor. Bond repayments are not covered by the FSCS.
What happens if I die before the end of the term?
If you die before the end of the term, your bond will become part of your estate and the executor of your estate will deal with bond ownership or redemption.
What happens if I want to withdraw early?
Our bonds are not redeemable unless in the case of terminal illness. We offer a liquid product (Cash Bond) which is redeemable within a 30-day notice period. Every redemption request will be processed, and non-cash bond redemption requests will be considered within the board's discretion. You cannot transfer bonds, other than bonds held in an ISA, to another person without our consent, which we can withhold for any reason.
What is Concentration Risk?
Concentration Risk for an investor is a lack of investment diversification.
What is asset-backed security?
Financing facilities are provided against asset-backed security, such as property, corporate debentures and other forms of security in order to protect our investments and your capital. The security held does not guarantee the return of your capital, it may take time to cash them in, and returns could be delayed.
What is the maximum cover of the FSCS?
Your investment performance is not protected by any type of insurance and repayment is not covered by the FSCS. However, if we do not promote the bonds to you in accordance with FCA rules, any liability we owe you is covered by the Financial Services Compensation Scheme (FSCS) regime up to a maximum of £85,000 per investor. You can read more about our FSCS coverage here.
What is the minimum and maximum amounts to invest?
The minimum amount of investment is £1,000 and the maximum amount of investment is £500,000 for each bond.
Please note that with our Innovative Finance ISA you can use some or all of your annual tax-free ISA allowance up to £20,000 in the tax year 2018/19 plus any previous ISAs that can be transferred up to £500,000. Subject to this being 10% of your net liquid assets.
What is the minimum duration for the Basset & Gold IFISA Bond?
The products that can be put in a Basset & Gold IFISA Bonds are a bond at 6.12%, on a 3 year fixed term with fixed monthly income (paid monthly) or a 3-year compounding bond which will pay 20.1% over the 3-year term.
What is the minimum that I can invest in the Basset & Gold Innovative Finance ISA Bond?
The minimum that you can invest into a Basset & Gold IFISA Bond is £1,000.
What's my security?
Loans are backed by assets, such as corporate debentures, property and other forms of security in order to protect our investments and your capital. The security held may not be sufficient to cover bond repayments, it may take time to cash them in, and returns could be delayed.
When do I start earning interest?
Your money is put to work on the 1st day of the following month in which you completed your investment with us. Therefore, your interest starts to accrue from this date. Your investment certificate will be sent to you on the 15th day of the month following your investment. If you have invested in one of our monthly fixed income products, your first payment will be paid into your bank account in the following month.
Example: Investment completed at any point during August => Money invested on the 1st of September => Certificate sent on the 15th of September => First payment on the 15th of October.
Where are you investing?
Basset & Gold Plc. invests in UK marketplace lending platforms and direct loans.
Who is Basset & Gold and who are the company directors?
We are a team of seasoned professionals, with decades of experience in finance, who advise and provide financing to marketplace and peer-to-peer lending platforms and direct loans. We look to provide everyday investors with the opportunity to take advantage of an offer that was previously available only to institutional and ultra-high net worth investors, and gain attractive returns from as little as £1,000 by purchasing the Basset & Gold Fixed Income Bonds.
Who is Basset & Gold?
Basset & Gold is a group of companies forging a financial revolution through retail investments. B&G Finance Ltd. is the firm promoting the bonds and arranging your investment, and they are regulated by the FCA. Basset & Gold Plc is the bond issuer and is not regulated by the FCA. We pride ourselves in providing a professional and responsive relationship management service, as proven by our consistently high customer satisfaction levels. We ensure that we put the customer at the centre of everything we do and use their feedback to guide and steer our services.
Basset & Gold is a trading name of B&G Finance Ltd and Basset & Gold Plc. both of which are companies in the Basset & Gold Group. This website is operated by B&G Finance Ltd and the bonds referred to on it are issued by Basset & Gold Plc.
B&G Finance Ltd is authorised and regulated by the FCA and appears in the FCA register under number (No. 788684).
Who is Gallium Fund Solutions Limited?
Gallium Fund Solutions Limited ("Gallium") is the firm who provides us with client money services. Once we accept your application to make an investment, we will provide you with Gallium’s segregated client account details into which you should transfer your subscription amount. Gallium is authorised and regulated by the Financial Conduct Authority under firm reference number 487176, and maintains the client money account in accordance with applicable FCA rules. Funds are held and administered by Gallium, which makes the payment arrangements related to the issue and repayment of your investment, as soon as relevant checks such as Anti-money laundering are completed.
Why do I have to wait until the 15th to get my interest payment if I start earning interest from the 1st?
There is a processing time that we have to consider when it comes to sending large sums of money. We aim to send the money to our investors as soon as possible, but we are dependent on third parties as well.
Why haven't I heard about you?
At Basset & Gold, we have been diligently and deliberately perfecting our range of investment services before unveiling them to the wider market. Today, we have a considerable number of satisfied investors providing positive word-of-mouth recommendations. We are now seeking to disrupt the financial landscape one product at a time. Find out more about us.
Why must I make a payment to Gallium Fund Solutions if I'm opening an ISA with Basset & Gold?
Gallium Fund Solutions is the firm we have selected to act as ISA manager for our clients. It is a requirement of the FCA client money rules and ISA Regulations that your money be deposited with them (in your ISA account) pending investment into Basset & Gold bonds and payments under the bond be made to your account with Gallium before being paid back to you or re-invested.
Will I be taxed on the interest payments I receive?
Yes. We are required by HM Revenue & Customs to tax the interest at source. However, if you are a non-taxpayer, we will provide you with a monthly R185 (through your personal account area) which you can use to claim your tax back. If you choose to invest in our IFISA Bonds you will not pay tax on the interest payments you receive.