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Fenchurch Legal Ltd Loan Note Review

Fenchurch Legal has a loan note, and I will be looking at it in this mini review.

My contact details are (advice@adamfayed.com) and WhatsApp (+44-7393-450-837).

This investment review should be considered for the non-UK market only, rather than for people based in the UK. In particular, this review is relevant for expats who live overseas like myself.

Some of the facts might change from the time of writing, and nothing written here is financial, legal, tax or any kind of individual advice, nor a solicitation to invest.

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Where is the Fenchurch Legal investment sold and what are the main features?

This investment can be sold globally but is especially popular in expat-focused markets like the UAE.

Fenchurch Legal focuses on litigation financing. They finance small and medium-sized UK law firms.

Fenchurch say that they use After The Event (ATE) insurance.

Fenchurch Legal review
source: Fenchurch Legal

What are the positives associated with this Fenchurch Legal investment?

The main positives are

  • Litigation financing is a significant and growing market in the UK.
  • The investment gives higher returns than most in the market, but this comes with risks.
  • There are no additional fees to pay with the product as they are all embedded into the solution.
  • The investment is available in multiple currencies and not just British Pounds.

However, these positives don’t change the fact that this is a high-risk investment.

What are the main drawbacks with this Fenchurch Legal investment?


The main drawbacks are

  • Clients with a low-risk appetite might be worried about a default, despite the safeguards put in place.

  • Like almost all products like this, Fenchurch Legal goes through advisors. This makes sense, but it also means that you are reliant on your advisor to assess your risk appetite appropriately.

  • With interest rates now higher, some A-rated options in the market pay 7.5%-8.8%, and they are often linked to household-named companies. This isn’t a reason not to make alternative investments; it merely means that you should carefully asses the risk-adjusted returns.

  • Like all private investments, there is always less transparency than publicly listed ones, even though the people behind this investment have been more transparent than others I have seen.

Conclusion

In conclusion, investments like this should only be considered by high-net-worth investors who have the risk-appetite to deal with any risk.

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