Beef Bonds: Prime cuts

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Buyers may salivate at the chance to invest in an Irish butcher’s meaty offering.

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Do you require a selection of offal and bones with your order? That isn’t something that every bond buyer gets asked when allocating to a new issue, but it is what potential retail investors in Irish butcher James Whelan are offered as part of its juicy debt opportunity: Beef Bonds.

The equity markets may have gone crazy for meat substitutes, but the bond markets are keeping it old school.

On maturity, Whelan’s beef bondholders are entitled to a share in one of the firm’s Hereford, Angus or Wagyu cattle. And yes, that kind of share.

The butcher offers short-term bonds that mature within 14 weeks, medium-term bonds that mature within 18 weeks and long-term bonds that mature within 22 weeks.

They cost €100 for the Hereford and Angus cattle and €150 for the Wagyu/Kobe breed. Buyers can literally sit back and watch their investment grow.

Given the recent volatility in the vegan meat substitute market, this could be a better approach. Beyond Meat’s meteoric share price rise from $65 at the beginning of May to $234.90 on July 26 demonstrated the demand for meat substitutes, but the stock was back down at $77.35 on November 13.

Maybe a beef bond really is better than an equity steak.