What is a non-readily realisable security?

Helping understand what it is

The Financial Conduct Authority (FCA) created the term ‘non-readily realisable security’ in 2014 to describe certain types of investments which are difficult to price and for which there is no or only a limited secondary market. These are primarily equity or debt securities of small and medium enterprises which are longer-term investments and carry more risk of capital loss.

Examples of instruments which are considered ‘readily realisable’ include:

  • government instruments issued in their local currency
  • a security (e.g. shares or bonds) admitted to official listing on a recognised stock exchange in the EEA or recognised investment exchange elsewhere in the world
  • personal investment products such as unit trusts, investment trusts, personal pension schemes
  • shares issued in mutual societies or credit unions

Since investments you may have made via the Funderbeam platform do not fall into the above examples, they would be considered ‘non-readily realisable securities’.

You can review the full definition on the FCA’s website here: https://www.handbook.fca.org.uk/handbook/glossary/G3363.html

The information about the investment opportunities profiled on this website is provided for general information and marketing purposes only and should not be considered an invitation or inducement to engage in any investment activity. Complete and comprehensive information about an investment opportunity is only available to the investors who have been approved by a Funderbeam group entity.

You should ensure you carefully read the Risk Disclosure Statement before deciding to proceed with any investment. Funderbeam has taken steps to ensure that the campaign information is clear, fair and not misleading in accordance with its internal verification procedures. Funderbeam does not provide investment advice or any recommendation to invest. The investment opportunity should not be considered as an offer to the public and is not directed at or offered to anyone located in a jurisdiction where it is unlawful to do so.

This page provides you with an overview of the services provided by different entities belonging to Funderbeam Group. In this page, we generally refer to the group as “Funderbeam”, “we”, “us” or “our”. It is important to note that funds can be raised, investments made and trade orders placed through Funderbeam Markets Limited (authorised and regulated by the UK Financial Conduct Authority under FRN 794918) or Funderbeam Markets Pte Ltd (licensed and regulated by the Monetary Authority of Singapore under Capital Markets Services (CMS) license CMS100863). In parallel, the Marketplace is operated by Funderbeam Markets OÜ, a company registered in Estonia, operating in reliance on certain regulatory exemptions in Estonia.