Holders of “mini-bonds” issued by Future Renewables Eco, a wind farm investment company, are braced to lose more than half their investments after it collapsed into administration on Sept 17.
It owned 10 wind turbines across Britain and was funded by 750 bondholders who ploughed £24m into the company between 2015 and 2017.
There might be the occasional problem with investing, via bonds, in renewables projects. As I’ve been telling the Sage for a decade now. Where’s the risk equity?
You know, not all projects actually work. So, there needs to be someone carrying the risk of the adventure. That’s what equity is. And if folks are investing through bonds, but there’s no risk capital there, then the bonds are carrying that risk, aren’t they?
But of course equity is that bastard capitalism and we shouldn’t have anyone investing their pensions with that sort of protection, should we?