London Stock Exchange to waive admission fees for retail charity bonds

London Stock Exchange to waive admission fees for retail charity bonds

London Stock Exchange to waive admission fees for retail charity bonds

The FINANCIAL -- London Stock Exchange on June 24 confirmed that it will waive admission fees for retail charity bonds that list on its Order book for Retail Bonds (ORB). ORB offers a transparent, electronic platform for the trading of retail bonds and more than 50 dedicated issues have raised £4.6 billion since its launch five years ago.

A new segment for Retail Charity Bonds was launched in July 2014. An initiative of Allia, a UK charity and social investment specialist, in association with Cannacord Genuity, the platform helps provide established UK charities with affordable access to the retail bond market. London Stock Exchange has since welcomed two retail charity bonds raising £38 million, according to London Stock Exchange.

Confirmation of the fee waiver was made ahead of an event, being hosted this week by Allia and London Stock Exchange, for charity leaders and their advisers.

Gillian Walmsley, head of fixed income UK at London Stock Exchange said:

“ORB has been a great success for corporate issuers, providing an alternative, flexible source of funding. The Retail Charity Bonds platform has opened up the market to charities with smaller financing requirements, and we’re delighted to add our support to make the platform more affordable for charities in to access the finance they need to deliver their mission.”

Tim Jones, Chief Executive of Allia noted:

“There are many charities in the UK with strong business models and ambitions to grow. Last year we launched Retail Charity Bonds, with the support of London Stock Exchange and Canaccord Genuity, to enable these charities for the first time to raise funds from retail and institutional investors through a listed, tradable bond. This waiver of the admission fee sends a clear message that charities are welcome on ORB.”