g’day senders.I’ve been with FIIG for many years, sitting in...

g’day senders.

I’ve been with FIIG for many years, sitting in term deposits in my bear cave post 2008. I was a very aggressive share investor until the 08 crash. Survived that with enough to retire, as we had enough, so went super defensive. Rates went so low for so long that I had to do something as our retirement income kept falling. Bonds were a nice middle ground in between shares & TD’s. so I had a long history with them & there wasn’t a minimum when I started in bonds around mid 2016. The minimums came in last year from memory.

You should contact a few brokers & see if you can do smaller parcels with them. Armour bond offer was oversubscribed. A great sign.

I wish I knew about bonds a lot earlier. For you younger guys there’s a good saying that you should own your age in bonds, as in % of your portfolio until retirement, then go 50-100% bonds in retirement, depending on your final balance. I think that’s great advice. Even if you really want all shares, I’d have at least one bond from an early age, just so you are aware of them & see them as a long term part of any investing portfolio.

even though 8.75% is way better then the C notes, I expect they’ll buy them back at first opportunity in 2 years at $103. They will, if all proceeds to plan. Which as we know doesn’t always happen. Great thing for investors is no dilution & if things get rough they can keep the bond rolling to maturity. They never were strong enough in these early stages at Arrow to be able to get bond funding. VERY strong to be able to do $55m at such an early stage. As soon as they’re more settled, then banks will be banging their door down with all the funding they need. BUT, they need to keep delivering; particularly with sales contracts.

i was & still am, very much into risk/reward investing. At this stage Armour are definitely high risk high reward.not one to put the house on. But if all goes well, can be. Nice 5 or even 10+ bagger for a modest punt.

gotta get back to the footy.

GO CATS.

cheers,

ned.