Gravis launches bond fund targeting over 10%

Gravis Capital Partners is launching a zero coupon bond fund secured against property, set to generate annual returns of over 10%.

The CJC Zero Coupon Bond fund has a 31-year tenure and is backed by the reversionary value - the value of a property at expiration - of the Civil Justice Centre building in Manchester. The initial minimum subscription price for units in the fund is £12,500, with an expected redemption value of £250,000 upon maturity in July 2042. Stephen Ellis, head of funds advisory at Gravis Capital Partners, says the fund will be an attractive investment for those seeking higher yields without the associated risk levels. The fund holds a small proportion of cash, to pay for fees and audit costs,...