OUR BANK INSTRUMENTS
Keston Capital Partners is a provider of investment-grade bank bonds issued as cash-backed medium term notes (MTN), standby letters of credit (SBLC), and bank guarantees (BG) that can be used for trade and finance purposes good for a year + a day with tranche values beginning at USD/EUR 10 Million, with payment completed after delivery to the borrower's bank (SWIFT MT760).
Assigned Bank Bonds =
Cash-Backed Bank Instruments
Top-rated bank bonds are assigned for delivery of cash-backed bank instruments to borrower's approved bank via SWIFT MT760 subsequent to pre-advice via SWIFT MT799. Payment for the instrument is completed after delivery and can be renewed annually for up to five years at the same price.
Purpose & Use
Bank instruments, as specified and agreed upon, are assigned in individual or corporate name and are primarily used for provision of a project, commercial endeavors, balance sheet and credit enhancement.
Type of Instruments
Under our securities lending service, borrower's have the option to receive fresh cut, cash-backed, assignable, divisible, and transferable medium-term note (MTN), standby letter of credit (SBLC), or bank guarantee (BG) issued from a top-rated European portfolio bank (i.e. HSBC PLC, UBS AG, BNP Paribas, Deutsche Bank AG, Standard Chartered, or Barclays Bank PLC) derived from an assigned investment-grade bank bond for one (1) year + one (1) day - extendable up to five (5) years).
Ordering Process
After contract signing, borrower completes their settlement cost beginning at USD/EUR 35,000. Settlement cost includes a 20-day call option that is placed on the selected bank bond for the borrower’s order.
The 20-day call option is placed on the bond with tranche value specified by the client;the client is provided with full details of the bank bond (issuer, currency, face value amount, annual service fee/rate, maturity date and ISIN code) verifiable via Bloomberg, Refinitiv Eikon, and Euroclear.
Before call option expiry, the borrower is required to issue its payment commitment for ordering of the bank bond (see payment commitment options below).
The bank bond is acquired then assigned at a top-rated European portfolio bank for delivery of fresh-cut, cash-backed MTN, BG, or SBLC to the borrower's receiving bank via SWIFT MT760 (a pre-advice via SWIFT MT799 may be sent upon request).
Payment Commitments
Payment for the bank instrument matures or becomes due after delivery to the borrower's receiving bank (for face values USD/EUR 10 Million and above) with one of the following options (click payment type below to see draft with terms):
Conditional Payment (SWIFT MT103)
Return of Instrument
The borrower and its bank undertake the irrevocable commitment to return the instrument unencumbered, free and clear of any debts or claim within fifteen (15) days of its maturity date; it is possible to extend the annual service period, with fifteen (15) day "pre-advice," yearly and for maximum up to five (5) years (annual service fee remains the same as year one).