Environmentally friendly metal recycling as a fixed income investment
Many private and professional investors are looking for sensible investment alternatives in the fixed income area. The international industrial company JC ECOMET has created such a product. Interest of five to eight percent annually is possible through investments in the production of high-quality metals and noble ferro-alloys from metal and electronic scrap.
Conservative investors in particular, which traditionally include foundations, pension funds and pension schemes, but also many wealthy private individuals, have traditionally had the desire to generate steady income on an ongoing basis. “Fixed income” is the generic term for this and describes the fixed interest rate on securities or an investment strategy that provides for investments in such securities. Fixed income papers therefore have a fixed interest rate over the entire term and are therefore mainly fixed interest bonds or covered bonds. This means that investors do not have to bear the risk of changes in interest rates for fixed income securities, and investment success can be calculated in the long term when they start investing.
But especially in the times of low interest rates that have prevailed for years, more and more securities fail to generate income. Because at a zero-interest rate level, stable income cannot be generated, as far as is clear – especially not with a high level of security. Very substantial government and corporate bonds with coupons of sometimes less than one percent or only slightly above are not sufficient to guarantee clear income. Sub- and non-investment grade bonds or subordinated loans offer higher earnings opportunities, but accordingly also have significantly higher default risks. For security-oriented investors who also have to fulfil certain purposes from the investment income, these papers appear to be less suitable.
Therefore, sensible investment alternatives in the fixed income area are sought that combine security and profitability and are positioned as independently as possible from developments on the capital markets and the general interest rate situation. The international metalworking company JC ECOMET has created a fixed income product for private and professional investors with which they can generate current income from the earnings of industrial metal production – well above the capital market average.
JC ECOMET has developed a disruptive concept to produce high-quality metals and alloys on environmentally friendly and from today’s raw materials of civilization with the help of efficient plasma furnaces. In terms of the circular economy, the company uses used metals for their recovery and refinement and bundles high-end plasma furnace technology, leading know-how in metallurgy and melting technologies, industrial project and workforce management and many years of experience in project development and implementation. The focus is on the environmentally friendly, flexible and efficient production of high-quality special metals and noble ferro-alloys from sources such as metal and electronic scrap.
The achievable returns are high. High-quality metals and noble ferro-alloys are increasingly in demand from growing industries such as the modern car and electric motor industry, IT and smartphone production, the consumer goods industry and the construction industry. The recession triggered by the corona pandemic does not change this – because special metals cover a niche market. As a result, investors can receive interest of five to eight percent annually, depending on the structure and term, using the JC ECOMET vehicle. The term of the JC ECOMET investments is six to ten years, the debt capital investments can be structured as a bond, obligation, certificate or similar. Interest and principal payments are made annually and quarterly.
The initiators offer a high level of security. Long-term purchase agreements ensure that all metals and alloys produced are sold at predetermined sales prices that enable each production unit to achieve attractive margins and returns. And experienced metallurgists and project managers protect against production downtimes with daily monitoring. In addition, JC ECOMET only works at locations that not only offer a reliable legal and tax environment, but also high ecological and occupational safety standards.