Secured Deposits or Unsecured Notes

You have the choice of making a Secured or Unsecured Investment.

Secured First-Ranking Debenture Stock ("Secured Deposits")

Investments in our Secured Deposits are covered by a security interest over the assets and undertakings of Asset Finance Limited. The security interest is first-ranking, subject to permitted prior charges.

The Trust Deed permitts prior charges of up to 2% of Total Tangible Assets. Some charges such as Wages and PAYE also also given preference by law.

Asset Finance's Assets consist mainly of loan advances, cash at bank, and fixed assets.

Because it would not be practicable for each individual investor to register their own security interest over the Company, the security interest is registered by a trustee company pursuant to a trust deed, but for the benefit of investors. In our case our trustee company is Covenant Trustee Company Limited.

Unsecured Convertible Capital Notes ("Unsecured Notes")

Investments in our Unsecured Notes rank for repayment after Secured Deposits and so carry for risk than Secured Deposits.

The increased risk is reflected in the higher interest rates paid for Unsecured Notes.

More information about Secured Deposits and Unsecured Notes is contained in the Prospectus and Investment Statements.