Our Commercial Papers are short-term debt financing securities consisting of unsecured and discounted promissory notes issued by large corporations with good credit ratings, which can be readily traded.
Due to their relatively short maturity period, (no longer than 270 days in tenor) commercial papers are referred to as low-risk investments, offering competitive returns to investors in compensation for the issuer’s credit risk. This product offers higher returns at pre-determined maturity dates. Being a discountable instrument, interest on commercial paper investment is payable upfront to investors whilst the principal sum invested is repaid at maturity.
As a medium or large organisation with high-quality credit rating, you may require larger amount of funding for your short-term working capital requirements. We can facilitate an arrangement for you, whereby we aggregate a pool of investors who are willing to provide such funding on the back of our corporate guarantee. Through a commercial paper, the issuing company may be able to access larger amount of short-term financing and at a relatively lower interest rate as compared to seeking a bank loan or other short-term credit facilities.
Our Areas of Expertise
- ■ Arranging funding of the vehicle
- ■ Instructing funds movements
- ■ Ensuring fees are received and paid
- ■ Keeping transaction records
- ■ Monitoring bank account balances
- ■ Preparing and distributing monthly reports
- ■ Drawing on support facilities as required
- ■ Monitoring compliance with legal documents
- ■ Bookkeeping