Fractional Bonds make bond investments accessible to retail traders. The overwhelming majority of bonds require excessive minimal investments of €10 000 or extra for a single funding. Furthermore, many bonds, particularly high-yield ones, aren’t obtainable to retail traders in any respect.
This makes it tough for a lot of retail traders to construct a bond portfolio. On Mintos, we’re altering this: You may put money into small fractions of a bond, ranging from simply €50, and conveniently construct a diversified bond portfolio.
Initially, we’ll supply investments in high-yield Fractional Bonds backed by underlying bonds issued by lending firms on Mintos. We’re additionally engaged on increasing our providing, so keep tuned for extra information.
Fractional Bonds could possibly be fascinating for you if
- You wish to earn a gentle Revenue. Bonds sometimes pay common curiosity, often known as coupon funds, which might present a dependable revenue stream. This may be significantly interesting to income-focused traders or retirees.
- You wish to put money into a much less risky asset. As bonds have a predictable revenue movement on account of their mounted fee of return, their worth traditionally tends to fluctuate lower than different asset courses equivalent to shares.
- You wish to diversify throughout asset courses. Strategic asset allocation generally is a precious technique to assist enhance your returns and cut back publicity to threat.