| Britain’s
largest charitable foundation, the Wellcome Trust, is launching
a bond to raise cash for scientific research. It is the first
bond to be launched by a UK charity.
The trust hopes to raise between £300 million and
£500 million after it issues the 30 year bond next
week.
The Charity Commission has approved the move. A statement
from the regulator said: “Following extensive discussions
with the Wellcome Trust, the Commission is satisfied that
the proposal to underwrite the bond issue from the trust’s
assets is expedient in the interests of the charity and
is prepared to authorise this innovative proposal.”
Both major ratings agencies, Moody’s and Standard
& Poor’s, have rated the bond as AAA, indicating
it carries the smallest degree of investment risk.
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