FAQs

Everything You Need to Know About Our Fixed Income Gold Bond

About the Investment

Learn what makes the Aurum Bullion Plc Fixed Income Gold Bond unique and why it’s a secure investment backed by physical gold.

What is the Aurum Bullion Plc Fixed Income Bond?

It is a fixed-income investment offering bonds with three maturity options (3 years, 5 years, and 10 years) paying annual coupons of 12%, 15%, and 20%, respectively. These bonds are secured by graded gold coins held by Aurum Vaults Ltd.

What makes this bond unique?

The bond leverages an arbitrage model in the artisanal and small-scale gold mining (ASGM) sector, ensuring predictable margins by pre-agreed terms on gold transactions, minimising risks associated with market volatility + use fact sheet or add

Investment and Returns

Get insights into return rates, payment schedules, and how your investment grows over time.

What is the Aurum Bullion Plc Fixed Income Bond?

What is the minimum investment amount?

How are returns paid?

Returns are paid quarterly in arrears. Interest accrues daily and is paid by the 20th of the following month after each quarter.

Is the return guaranteed?

The return is underpinned by a locked-in margin arbitrage trading strategy, which pre- agrees both ends of transactions. This minimises risk and provides high predictability.

What happens at the end of the bond term?

Investors can redeem their bonds at full face value or extend their investment with a minimum return of 12% per annum.

When are the coupon payments made?

Interest payments are made monthly, quarterly, bi-annually or annually calculated on a daily basis from the issue date.

Security and Risk

Get insights into return rates, payment schedules, and how your investment grows over time.

How is my investment secured?

The bonds are secured by graded gold coins minted by the Royal Mint, held by Aurum Vaults Ltd. In case of default, these assets are available for liquidation to repay bondholders.

Are there risks involved?

Yes, as with any investment, there are risks, including operational, currency, and liquidity risks. Investors may lose all or part of their capital. Comprehensive details are provided in the Risk Factors section of the Investment Memorandum.

Is this investment regulated?

This offer is not regulated by the Financial Conduct Authority (FCA). Therefore, it is not covered by the Financial Services Compensation Scheme or the Financial Ombudsman Service.

How is my investment secured?

The bonds are secured by graded gold coins held in vaults under the oversight of Aurum Vaults Ltd, acting as the Security Trustee. In the event of default, bondholders have priority over unsecured creditors.

What makes this bond a low-risk investment?

Funds are always secured in cash, gold, or bank instruments, except during settlement periods. The trading strategy avoids reliance on volatile market prices by locking in margins in advance.

Are there risks involved?

As with all investments, risks exist. While the arbitrage strategy and security reduce exposure, potential risks include operational challenges and broader market disruptions.

Who Can Invest?

Find out the requirements to invest, including investor classifications and necessary documentation.

Who can invest in these bonds?

The offer is open to High Net Worth Individuals, Sophisticated Investors, and Restricted Investors. It is not intended for general retail clients.

What documentation is required to invest?

Investors must complete an application form, meet the eligibility criteria, and submit proof of their investor category (e.g., certified high net worth or sophisticated investor declarations).

Early Redemption

Learn about early withdrawal terms, penalties, and how to redeem your bond before maturity.

Can I redeem my bond early?

Early redemption is possible after a 36-month lock-in period, subject to penalties. Requests must be made in writing at least 60 days in advance.

What are the early redemption penalties?

Penalties vary based on the bond’s term and the redemption timeline:

30% penalty for 36-month maturity bonds
45% penalty for 60-month maturity bonds
50% penalty for 120-month maturity bonds

Taxation

Know the tax responsibilities on your returns and how to optimise your investment strategy.

What are the tax implications?

Coupon payments are subject to UK income tax, typically deducted at source at the basic rate of 20%. Investors should consult tax professionals for personalised advice.

How to Invest

From application to fund transfer, here’s how to securely subscribe to a bond with Aurum Bullion Plc.

How do I subscribe to a bond?

Complete the application form provided by Aurum Bullion Plc and transfer funds to the company’s designated receiving agent, Ocorian / M&G (UK) Ltd

How is my investment managed?

Once subscribed, funds are used in arbitrage trades involving gold purchase and resale. Bonds are registered, and interest payments are managed by the company registrar.

Investment Process

Find out how your investment is handled, from gold arbitrage trades to interest payments.

Who is eligible to invest?

The bond is suitable for "relevant investors" as defined under the Financial Services and Markets Act 2000, such as High Net Worth or Sophisticated Investors.

How do I invest?

Complete the application process detailed in the Investment Memorandum, including providing proof of eligibility and transferring funds to the designated account.

What happens if I want to redeem my bond early?

Early redemption is possible after the minimum holding period of 8 months but may incur penalties. Specific terms can be reviewed in the Investment Memorandum.

Additional Information

Bond transferability, ethical mining contributions, and where to find further details.

Are the bonds transferable?

Transferability is subject to the terms outlined in the Investment Memorandum. For more details, consult the document or contact Aurum Bullion Plc directly.

How is the community impacted?

Aurum Bullion Plc emphasises ethical sourcing and contributes to the communities where artisanal gold mining takes place, fostering local development and cohesion.

Where can I find more detailed information?

Refer to the Investment Memorandum and prospectus for comprehensive details or contact Aurum Bullion Plc.

How We Generate Returns

Explore our targeted market and strategic gold trading model that ensures fixed profits.

What market does the bond target?

The bond focuses on the artisanal and small-scale gold mining (ASGM) sector, which contributes to 20% of global gold production. The strategy leverages arbitrage opportunities in this niche market.

How does the trading strategy work?

The company uses a "locked-in margin arbitrage" model, pre-selling gold before purchase to ensure fixed profits. This eliminates reliance on market fluctuations and provides consistent returns.

We specialise in certified numismatic gold coins, offering secure, tax-efficient investments for collectors and investors.

Legal notices

Service

Work Hours

Visit us or contact our team during working hours for expert assistance.

Precious metal prices can be volatile and the value of your metal may go down as well as up. No responsibility can be accepted by Aurum Billion Plc for any loss caused by acting on information we have provided. We do not offer investment or tax advice and recommend that you conduct your own independent research before making any purchase that you may consider an investment. ICO Number: ZB455414. Aurum Bullion Plc © is a company registered in England and Wales No. 14346693 | Registered office: Fifth Floor, Suite 23, 63 – 66 Hatton Garden, London, EC1N 8LE, United Kingdom. Legal Entity Identifier (LEI): 984500556DA8CBN5E728