Definition and Operation of Private Placement Programs
A Private Placement Program (PPP) is a specific type of investment that provides access to the Market to trade Bank Assets, most often with medium term notes such as Medium Term Notes (MTNs). The term Medium Term Note refers to a debt instrument that matures in the medium term, on average between 5 and 10 years. These MTNs are purchased fresh (New Issue) at a steep discount of their face value and then re-sold at a higher price on the secondary market. The Investor makes a profit on the spread between the purchase and selling price. 20 points to US Citizen Investors Only and 30 points to European Investors.
How Does Private Placement Work?
Private Placement transactions only consider freely available Clean and Cleared Cash Funds of Financial Instruments Deposited in a top international Bank, for trading transaction purposes and subject to approval and verification of the account, the account holder’s signatory authority and control over the account and the account holder’s ability to arrange the necessary transactional Blocking structure and compliance acceptability of the Cash or Instrument and the Applicant (Client).
The Client:
The Client must be the Legal and Beneficial Owner of the Funds/Assets, not only the Beneficiary of the Funds/Assets. The Client is holding, owning and controlling under his/her sole signatory power, ownership and authority, either through his/herself or through a company under his/her direct control of the financial asset (The Asset).
The Asset:
Type: Cash Deposit in a Regulated Bank Account. Currency: USD, EURO or GBP, for other currency, please contact us. Account Holder the (Client). Depositary Bank: to be confirmed by Client and Acceptable to Regal Park Capital Financial Group Limited. The Amount: Superior to 100M/120M, in accordance with existing and running Trading Programs and Present Possibilities/Capacities and, also the applicable investment regulations. Loan to Value (LTV) must be at least 100M. Our Traders arranges multiple trading accounts for our Clients. Regal Park Capital Financial Group Limited accepts Prime Banks in Western Europe, Middle East (Bahrain, Dubai and Abu Dhabi), Japan, Australia, Hong Kong, Singapore, China and North America. Bullet Programs open from time to time. We will request (on a Case By Case Basis) that the Client Open a Sub-Account in the Name of “Regal Park Capital Financial Group Limited” in the Client’s Bank with one of Regal Park Capital Financial Group’s Directors added as a signatory on the Sub-Account. Note: The Client open a Sub-Account in the Name of Regal Park Capital Financial Group in his/her Bank. The Sub-Account is Wholly Owned by the Client and the Client controls the Sub-Account, the Regal Park Capital Financial Group’s Director “Signatory” has No Withdrawal Powers. Explanation.
Explanation For Sub-Account:
The reason for the Sub-Account is for the benefit of the Client adding another layer of Protection. The Client Assigns the Funds to Regal Park Capital Financial Group for a period of 12 Months and one week. The Client issue a Bank Draft in the amount of the “Investment Funds” and deposit the Draft into the Sub-Account, the Bank Draft is Non-Negotiable for One (1) year and (1) week. The Client’s Funds Never leaves his/her account and under his/her control. When the Client is requested to send out a Brussels SWIFT MT199/799, followed by MT760 it will be sent from the Sub-Account showing the deposited amount (Bank Draft Amount) in the account. The MT760 will be discounted and monetized based upon the amount in the MT760, (the amount of the Sub-Account). The Signatory has no power to withdraw funds because technically there are no funds in the account, only a Bank Draft for the amount of the investment. If the Client request that his investment funds be placed on an “Administrative Hold”, the Bank would place a “Hold” on the funds and if the Client request a Cash Bank Draft be issued, his/her Bank would place a “Hold” on the funds until the Administrative Hold is released. (Client’s Funds are 100% Safe).
All transactional Funds are required to be Fully Liquid and Fully Tradeable
Regal Park Capital Financial Group allocates one of its available Credit Lines, delivered against the Blocking/Administrative Hold on the Client’s Funds in a Sub-Account created by the Client in the name of Regal Park Capital Financial Group and then the trading Facility (Trading Platform) will start effectively. In exchange for the Commitment of the Client Blocking his/her funds in the Sub-Account (in the Name of Regal Park Capital Financial Group), the Client receives Net Profits from the Trading Facility allocated for Project Funding of the Client, upon the execution of all necessary legal mutual commitments to be detailed in the Trade and Investment Agreement.
The Trading Facility Procedures:
* Type: Buy/Sell Agreement * Frequency: Every Other Banking Day * Market: Primary (Fresh Cut) Medium Term Notes. Sold on the Secondary Market: (Seasoned Notes). * Collateral: Trader’s Credit Line * Exit Buyers: Pre-Negotiated Sale Agreement(s) of Medium Term Notes. * Buyers: Pre-Existing Buying Clients of the Trader
I frequently receive correspondence from individuals around the globe seeking advice or wanting to do business with me. As you can imagine, a multitude of these individuals make lofty claims or assertions on behalf of themselves or their s0-called wealthy clients. For the most part, their claims invariably end up being false and my time is wasted. This happens more frequently than I would refer and as a general rule, I don’t give out my personal coordinates until I have ascertained first and foremost that I am dealing with a viable and genuine client or intermediary. Some people take exception to this rule and I tell them to kindly take their business elsewhere. When you have dealt with the level of nonsense that I am accustomed to in this business, I don’t mind blowing off arrogant, uneducated on the business, ignorant of the business and have never traded or been in a trade in their life. I try to insulate myself from as much nonsense as possible.
I receive hundreds of submissions from brokers/intermediaries everyday, the most common ones are Medium Term Notes (MTNs), Standby Letters of Credit (SBLCs), Bank Guarantees (BGs), Bank Drafts, Heritage Funds, Ledger to Ledger Transfers, Off-Line/On-Line Credit/Debit Card Transfers, SWIFT MT103/202 Transfers, GPI, FIN-SWIFTs and Private Placement Submissions. I get thousands of requests asking me to utilizing these instruments in some kind trade or monetizing each month. In all my years in this business, 40 years I may add, I have received thousands of these submissions. How many did I close and place them into a 40 week trade, well believe it or not I only place about 3 to 4 transactions per year, that’s right only 3 or 4 a year out of all those submissions. In the next post, I will reveal to you why so many wealthy Companies or Individuals don’t make it into trade and why brokers and intermediaries are clueless on how to get a real transaction across the finish line. Thanks, DButler