WiseAlpha, an interesting Fintech that offers an online marketplace for corporate bonds, is looking to boost investor interest by offering a new “bond academy” to educate investors about the corporate bond market. WiseAlpha is regulated by the UK Financial Conduct Authority and has sought to “democratize” access to the corporate bond market since 2014. An investor may access “fractional” bonds and other products via the platform.
According to WiseAlpha, the bond academy will be directed by an independent expert instructor, George Flynn from Europeanhighyield.online.
Tom Macura, COO of WiseAlpha Technologies, commented on the Academy:
“WiseAlpha want to provide everyone with the knowledge they need to invest in this superior but often misunderstood asset class. The financial elite have been investing in corporate bonds, and earning outsized returns, for decades. Now that we’re democratising the corporate bond market, we want to provide everyone with the knowledge they need to invest in this superior but often misunderstood asset class. WiseAlpha Bond Academy’s courses are taught by bond industry professionals and has new modules released monthly. WiseAlpha wants to help investors, no matter their experience level, to make informed and educated decisions on their financial futures.”
So why invest in bonds?
Equity investments tend to be far riskier than debt offerings like bonds. Of course, the rate of expected return is far lower but for many people less risk is better. Typically, a corporate bond pays a higher rate than parking your cash in a savings account.
Investors must be aware that any investment holds a certain amount of risk. Bonds are rated instruments which are fairly easy to review because of the agencies that apply grades to the debt.
A quick visit to the WiseAlpha site shows a fair number of well-known corporate names listed as investment opportunities. If you click through, you can see the yield to maturity and term – so you have an idea how much you may earn.
Wisealpha hosts a “high yield market statistics” page that shows an annualized return of 10.4% from September 2000 to September 2019. Of course, past returns are never a guarantee of future returns. WiseAlpha also compares its offerings to more traditional P2P lending investments.
If you are interested in learning more, sign up for the Bond Academy.