Loanstock

Loanstock is a simple way for members of the public to invest in a Co-operative and Community Benefit Society. It is a form of loan repayable in full on an issue’s maturity or ‘closing date’. Any investment is for a fixed period of time and pays compound interest.

Loanstock investment provides the housing co-op with a great deal of stability and is ideal as a highly targeted ethical investment because it does not permit any investment other than those which are within the society’s stated objects (which can be seen here).

Loanstock is an appropriate investment form offering:

  • A high level of accountability (since you know exactly where your money is invested and what it is being used for)
  • Interest to prevent your investment losing value
  • Socially beneficial outcomes.

Loanstock issues have a clear closing date and maximum rate of interest; this is assessed by the society’s officers (directors) as the rate which is necessary to raise the investment by being an attractive and competitive interest rate, but not more. Interest is paid annually and can be in the form of further loanstock if required by the holder. Loanstock invested in Rockdove Rising is at least partially SECURED, by agreement of the directors, against the assets of the co-op, secondarily to the security of the Radical Routes Loan. However, should the co-op become bankrupt, individual tenants cannot be held liable for the debts of the co-op. In addition, an investment in loanstock cannot be withdrawn prior to the maturity date except by agreement of the directors.

The stock holder decides on the level of interest they want to receive, from 0% to 6% p.a. depending on the amount of time for which they invest loanstock. Investors do not get any decision making power in the society. Rockdove Rising are currently offering the following rates (please note that there is a maximum level of investment for each loanstock period).

Loanstock Interest Table

All Loanstock purchases can be made either direct from the society or via an Independent Financial Advisory firm. Please see our INVESTORS PACK or CONTACT US if you are interested in investing.

PURCHASING LOANSTOCK
You can purchase loanstock either by BACS transfer to our bank account or through the website by using the buttons below. Once you have specified the length of time for which you would like to invest, and the rate of interest you would like to receive, you will be issued with a Loanstock Certificate for your investment.

BACS transfer should be made to:
Rockdove Rising Housing Co-operative Ltd
Acc: 20319234
Sort code: 08-60-01