Welcome to Forward Trade Contracts
FTC offers an alternative to equity investment where a company has, or may have in the future, an underlying asset class such as a natural resource commodity. We are able to provide working capital finance which is not necessarily equity linked.
Investors often have a contracted return on an annual basis via de-risked investment. The instrument can be used by itself, or by existing and new investors to compliment an IPO or subsequent placing.
Why Forward Trade Contracts?
- Less equity, no equity or delayed dilution in fund-raising exercises.
- Significant sums can be raised in excess of market capitalisation.
- Contracts can be used to help underwrite other funding requirements.
- Cash flow during contract periods.
- Fixed buy out or % buyout to future market price.
- Agreed notice period to opt out of contract.
- Hedged future pricing strategy for part of supply capacity.
- Unambiguous contract end, sight of costs at inception of contract.
- Forward Trade Contracts' fee largely based on success.
- Contracted returns on investment from inception.*
- Annual returns from inception.*
- Investor returns not subject to stock pricing and liquidity of markets.
- Protection offered against commodity price movements.
- Fixed buy out or % buyout to future market price.
- Agreed notice period to opt out of contract.
- Unambiguous contract end, sight of costs at inception of contract.
*subject to ongoing viability of underlying asset