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Old 10th Jul 2020, 08:02
  #602 (permalink)  
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Oz wrote

My point still stands If they were dumb enough to invest 2 billion in a ‘sham’ company. It’s like putting it all on red, losing it all and then having a cry.
I have previously invested a little in Bonds as part of my SMSF. Over the last couple of years, I have been offered Bonds in Bristow Group and Virgin. Luckily, I know Bristow Group well and I wouldn't have dreamed of putting my money into their Bond offering. When I was offered Bonds in Virgin, a little research into their financials scared me.

Sadly, these financial companies who offer Bonds always talk them up as being relatively "secure" in that Bond holders are reasonably assured of being paid. Their patter can be convincing for Mum and Dad investors. When I declined both Bristow Group and Virgin Bonds, the financial adviser told me what an opportunity I was missing and almost looked at me as if I was being a bit stupid. Of course, I would have done my dough in both cases, Bristow through CH11 and Virgin through administration. Institutional investors should have been more informed. Even without Covid, would VA have survived?
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