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Sale rules

Sale Rules for Issuer

Repay rule

  • Issuers must repay face assets within 7 days before the maturity date.
  • If the repayment is not completed within 7 days before the maturity date, issuers’ bonds will be liquidated, which means the collateral will be distributed to bondholders.

Bond maintaining rule

  • To maintain the bond, issuers should ensure that the LTV is less than or equal to 65%.

Liquidate rule

  • The bond will be liquidated when its LTV reaches 80%.
  • When a bond is liquidated or matured, you can no longer trade it on Bond Exchange.
  • The system will distribute the issuer’s collateral to the holder as a percentage of holding.

Claim Assets rule

  • Issuers are able to claim assets when bonds are bought.
  • Issuers must pay issue fee when claiming asset.
  • Use face assets to purchase the bonds with the issue price.
  • Bonds will be on-sale when it reaches the on-sale phase.
  • Bonds will be active once sold out or at an active date. Therefore, the maturity date may be sooner than expected.
  • When bonds are liquidated, you can claim the underlying assets of bond issuers even though it has not reached the maturity date.
  • In case the issuers do not pay investment plus interest when bonds reach maturity, the bond will be liquidated, and their collaterals will be used for payment to investors.
  • Exchange your bonds on tab Exchange after bonds are active.
  • In normal cases, bondholders can claim face assets when the bond reaches maturity.

Sale rules for holders

  • Use face assets to purchase bonds
  • Bonds can be sold when it reaches the on-sale phase
  • Bonds are only active once sold out or at an active date
  • Bonds can be liquidated when the price reaches the liquidation price.
  • In this case, you can claim underlying assets of bond issuers even though it has not reached the maturity date
  • Exchange your bonds on tab Exchange after bonds are active
  • In case the issuers do not pay investment plus interest when bonds reach maturity, their collaterals will be used for payment to investors
  • YTM is the fixed interest rate of a bond that you are guaranteed to receive at the maturity date