UnThreaded | Threaded | Whole Thread (4) | Ignore Thread Prev | Next
Author: cmencke Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 35361  
Subject: Re: Capital Note Offerings - Are they for real? Date: 8/7/2000 9:52 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Hi, I think these notes are probably something like the Advanta offerings that you see advertised in the NY Times money section all the time. They are sold directly to investors by the issuer and are paid out of subprime (i.e. higher risk) home equity loans. The prospectus is available from Advanta's Web site, http://www.advanta.com/notes/prospectus.asp. They pay about 8% for 90-day notes through 11% for 5-years. Since they are basically (second) mortgages, they can be prepaid and then the investor doesn't get paid as long as the original term. There's no active trading market for these notes.
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (4) | Ignore Thread Prev | Next

Announcements

Post of the Day:
Macro Economics

U.S. Stable, Europe Stalling
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement