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Fixed interest investments are never going to provide the greatest performance, but their appeal lies in the fact that they can provide a comparatively safe haven during troubled times.
Collectives can also invest in Fixed Interest securities such as UK Government Stock, also known as Gilt Edged Stock or "Gilts" for short. These are bonds issued by the government which pay a fixed rate of interest twice a year and are considered safe investments as the government is unlikely to go bust or default on the interest payments. However Gilts, like corporate bonds, are bought and sold on the stock market where their price can fluctuate so you are not guaranteed to get all your capital back under all circumstances.
Corporate Bonds are also regarded as Fixed Interest Securities and this type of product usually has little or no equity content whatsoever. A Corporate Bond invests in high yielding, Sterling denominated, Corporate and Government Bonds and this is essentially a loan which the investor, or bondholder, makes to the Company/Government for a fixed period. In return, the borrower regularly pays a fixed amount of interest over the life of the Bond. However, this income paid to the bondholder, i.e. you, is not fixed and may fluctuate.
A Corporate Bond (or fixed interest bond) usually carries less risk than equities or Capital Investment Bonds (which invest in equities), but there is still a degree of risk since Fixed Interest Bonds can, and sometimes do, fall in value. Traditionally, all types of Fixed Interest investment have been regarded as a safe option but it is also important to remember that not only do they fluctuate in price but there is a risk to you, the investor, if the Issuer defaults and cannot pay both the interest (coupon) or repay the principal when the Securities mature.
THE VALUE OF INVESTMENTS AND THE INCOME FROM THEM MAY GO DOWN. YOU MAY NOT GET BACK THE ORIGINAL AMOUNT INVESTED.
I want to take this opportunity to thank you profusely for all your work, time and support in steering me through this process. I have felt very confident that I was in good hands from the outset and appreciated your patience and proactivity in seeking out an alternative provider when the original lender turned me down.
We are completed impressed with the professionalism of Capital Financial Services and their outstanding service.
Colin & Chrissy were extremely helpful in assisting us in arranging our first mortgage. As daunted first time buyers who knew nothing about the process, it made things much easier having them there along the way to answer questions, arrange everything we needed and deal with much of the paperwork on our behalf. They always got back to us promptly and took the time to explain what we needed to do and why. They made the process so much easier for us, so many thanks to them both! We wouldn't hesitate to recommend their services.
Colin and the team at CFS arranged our mortgage and life cover. They did an excellent job of talking us through the different options available and explained everything thoroughly, so we fully understood our obligations before proceeding. They were courteous and helpful at all times and we will definitely use them again.
We didn’t fully understand the implications of Inheritance tax, which Colin explained to our family in an easy to understand manner. As a result, we are now secure in the knowledge that the family estate is protected.
After the birth of our first child, we decided to review our finances and contacted Capital Finances Services for independent advice. They were brilliant in advising us on what our priorities should be. It really put everything into perspective and has made us much more aware of our finances. We started with protection plans for our family and are about to make some ISA investments. The fact that the advice was independent really made a difference as the options are much greater and we are comfortable that we have the right plans in place for our needs.
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Read moreCONTACT US
Capital Financial Services
Argyle House
Third Floor, Suite 3K
Joel Street
Northwood Hills
Middlesex
HA6 1NW
T: 01923 842 282
F: 01923 840882
Email Us
Principal: Colin Baldock
THE GUIDANCE PROVIDED WITHIN THIS WEBSITE IS SUBJECT TO THE UK REGULATORY REGIME AND IS THEREFORE PRIMARILY TARGETED AT CONSUMERS BASED IN THE UK.
AUTHORISED AND REGULATED BY THE FINANCIAL CONDUCT AUTHORITY. CAPITAL FINANCIAL SERVICES IS ENTERED ON THE FCA REGISTER (WWW.REGISTER.FCA.ORG.UK) UNDER REFERENCE 977595.
Further information about the Financial Ombudsman Service (FOS) is available from their website www.financial-ombudsman.org.uk
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