# Charity retail bond launches to benefit CAF

- Link: https://fundraising.co.uk/2016/03/24/charity-retail-bond-launches-benefit-caf/
- Published: 2016-03-24T09:34:00+00:00
- Author: Melanie May

**A new charity retail bond has launched on behalf of the Charities Aid Foundation(
CAF).**

Launched by Retail Charity Bonds, the [Charities Aid Foundation Retail Charity Bond](http://www.cafonline.org/bond)
will see all funds raised loaned to CAF. It offers 5% interest per annum and is 
due to mature in 2026.

It is the third bond to be issued through the Retail Charity Bonds platform, which
was created as an issuing vehicle to enable UK charities to raise medium term debt
finance through bonds issued to retail and wholesale investors.

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The bonds are available to wholesale and retail investors and the 5% per annum fixed
rate of interest will be payable twice yearly on 12th April and 12th October of 
each year. The first coupon payment will be made on 12th October this year. The 
bonds are expected to mature on 12 April 2026 with a final legal maturity on 12 
April 2028.

John Low, Chief Executive of CAF, said:

> “CAF has a 90 year record supporting civil society by helping people to support
> charities safely and effectively and helping charities make the most efficient
> use of their money. The funds raised from this Retail Charity Bond will enable
> us to further our work in a variety of ways, including expanding services for 
> donors and for charities through CAF Bank.”

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 * **[Record amount left to armed forces charities in 2014](https://fundraising.co.uk/2016/06/28/record-amount-left-armed-forces-charities-2014/)**(
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