IFA GROUP is focused on MTN issued by Banks with high worldwide rating.

The MTN newly issued (so called “Fresh Cut”) aren’t lodged in a Clearance House (Euroclear, Clearstream, others) and haven’t yet an assigned ISIN. The ISIN (along with the CUSIP) will be assigned by the Provider before the purchasing/delivery of the MTNs. Also, the Buyer can lodge the MTN in a Clearance House soon after the purchasing.  

The price of FC MTNs is generally about 15-20 points lower than the price of the MTNs that have already been assigned and circulating on the retail market (so called Slight Seasoned MTN). Indeed, unlike the MTNs that have already been assigned, you have the opportunity to purchase the MTNs from the Dealer of the Bank (as standard the issuing bank is HSBC, London) and not from a Broker. The MTN cutting is assigned for the first time at your name and it is a transparent transaction bank-to-bank without risk for both buyer and provider. 

The Provider purchases the MTNs in the Buyer’s name.

Of course you will have the opportunity to resell the MTN and take your profit, if your intention is to do a so called Buy/Sell. The “exit buyer” can be provided for contract by the Provider.

It is the Provider that after compliance will contact the Buyer to arrange the purchase/delivery of the MTNs and a contract. 

Provider purchases the MTNs in the Buyer’s name (the MTNs are available for delivery within 48 – 72 hours) and the  Buyer does not sign a purchase contract until the MTNs have been purchased in the Buyer’s name by the Provider.

After that the MTNs have been purchased and are in custody and ready for delivery, the Provider will then provide the Purchase Contract to the Buyer for signature.

The Confirmation MT-799 SWIFT from the custodial bank will include the registered ISINs and CUSIPs for the MTNs and reference the Provider/Buyer Purchase Contract number.