Spotlight On: Mencap charity bond

The deal

Golden Lane Housing, part of the charity Mencap, yesterday launched a charity bond in partnership with Triodos Bank which will raise money to buy homes for people with a learning disability.

Good points

Investors with a minimum £2,000 will get a fixed gross yield of 4 per cent a year for five years.

Bad points

You have to be prepared to lock your cash away for five years.

Conclusion

The charity hopes to raise £10m through the bond from investors who want to use their savings to give 250 people with a learning disability the chance to live independently in specially adapted homes. The closing date to invest is 30 April. Details at www.glh.org.uk/bond-offer