Triple Point Income Service

Fixed-term, fixed-interest, secured bonds – up to 6.43% AER (not guaranteed)

The Triple Point Income Service aims to provide investors with attractive fixed-rate returns which are uncorrelated to traditional equity and bond markets.

Investments are used to provide loan, lease and other asset finance to a large and diverse range of UK businesses that have been vetted by Triple Point. 

You can choose the term – 1, 2 or 3 years – and whether to receive monthly interest or a single payment at maturity.

Important:The information on this website is for experienced investors. It is not advice nor a research or personal recommendation to invest. If you’re unsure, please seek advice. The bonds are unlisted and not covered by the Financial Services Compensation Scheme. Investments are for the long term. They are high risk and illiquid and can fall as well as rise in value, so you could get back less than you invest.


Highlights

  • 0.5% bonus for Wealth Club investors
  • Choose monthly interest or single payment at maturity
  • Invest as an individual or as a company
  • Available within an ISA for tax-free interest. Make a new subscription or transfer existing ISAs 
  • Diversified portfolio of 50,000+ SME leases and loans 
  • Secured against the lender’s assets – not individual loans
  • Attractive fee structure that aligns the interests of Triple Point with those of investors
  • Experienced manager with a strong track record 
  • Minimum investment £1,000
  • Apply online in minutes

Terms and rates

Term Monthly gross income Maturity gross income
1 year 5.25% APR 5.38% AER
2 years 5.75% APR 5.90% AER
3 years 6.25% APR 6.43% AER

This is an investment: interest rates are not guaranteed, nor is your capital. AER is the Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year. APR is the Annual Percentage Rate and assumes no re-investment of monthly interest. Interest is paid gross if held in an ISA. Otherwise, 20% withholding tax will apply. Rates are inclusive of the 0.5% bonus for Wealth Club investors.

Read important documents & apply

    

The offer

Triple Point is a leader in the private debt market and currently manages over £350 million of assets in direct lending and leasing. It has provided funding to over 100,000 UK businesses so far.

The bonds are issued by Triple Point Advancr Leasing plc, which specialises in SME leasing and lending and currently has a book of 50,000 SME leases and loans.

When you invest, your bond is exposed to the whole pool of loans. 

In addition to borrower diversification, there are three types of potential underlying assets, which adds further diversification. 

1. Leasing – For instance, Triple Point has partnered with a leading provider that sells financed credit card terminals to more than 50,000 SME clients, which undertake to make periodic payments in return for the use of the terminals.

2. Short-term finance – For instance, Triple Point provides working capital loans to 20,000 SMEs, usually as a supplement or replacement for an overdraft facility or traditional bank finance. It also provides receivables finance, effectively lending SMEs the money tied up in invoices yet to be paid.

3. Secured lending – For instance, Triple Point provides bridging loans to property developers, with a strong security over the property and a prudent loan-to-value ratio. It also provides loans with debentures to SMEs, to help fund growth, expansion, acquisitions and transactions, such as management buy-outs and buy-ins. Lastly, secured lending is provided for infrastructure and industrial projects, using the cash flows generated by the project to fulfil the debt obligation.

Portfolio overview by underlying asset

Option to receive the income tax free in an ISA

Interest earned from Income Service bonds is normally initially subject to 20% withholding tax deducted at source. However, no tax is withheld – or due – if you hold the bond in an ISA. This is possible by either by subscribing to the Income Service IFISA (up to £20,000 this tax year) or by transferring existing ISAs into it. 

Tax benefits depend on circumstances and tax rules can change.

Watch a video interview with Daniel Cardenas-Clark of Triple Point Income Service:

Recorded October 2018

Risks – important

This, like all investments available through Wealth Club, is only for experienced investors happy to make their own investment decisions without advice. 

These unlisted bonds are investments, not savings. Your capital is tied up for a fixed term. The bond investments made by Triple Point are not covered by the Financial Services Compensation Scheme.

The bonds are not readily realisable. They tend to be illiquid and hard to sell. They should only form part of a balanced portfolio and you should not invest money you cannot afford to lose. Before you invest, please carefully read the Risks and Commitments and the offer documents to ensure you fully understand the risks. 

Although the rate of interest is fixed at the outset of the loan, should the company run into difficulties it may not be able to make interest payments at the rate set or at all. It could be unable to repay your capital. 

Tax rules can change and benefits depend on circumstances.

Fees & charges

Triple Point is remunerated from being the equity shareholder in the bond issuer, Triple Point Advancr Leasing plc. Bondholders get paid first, then the profits within the company, after tax, provide Triple Point’s effective fee for the service. This means that, unless defaults are kept to a minimum, Triple Point doesn’t get paid, but it will benefit if the bond issuer does well, which may provide comfort to investors. Please see the provider's documents for more information on charges and fees.

Full initial charge 0%
Bond transfer fee 1%
Annual management charge 0%
Performance fee 0%

More detail on the charges

Wealth Club aims to make it easier for experienced investors to find information on – and apply for – tax-efficient investments. You should base your investment decision on the provider's documents and ensure you have read and fully understand them before investing. This review is a marketing communication. It is not advice or a personal or research recommendation to buy the investment mentioned. It does not satisfy legal requirements promoting investment research independence and is thus not subject to prohibitions on dealing ahead of its dissemination.

The details

Type
Secured bond
Target raise
£5 million
Rate of interest
Up to 6.43% AER
Term
1, 2 or 3 years
Income payments
Monthly or at maturity
ISA available?
Yes
Minimum investment
£1,000
Last updated: 15 August 2019