FAQ

WHAT ARE MEDIUM TERM NOTES?

Since its establishment in the early 80’s as a bridge over the funding gap between short- term commercial paper and long-term borrowings in the bond market, the MTN market has evolved to such an extent that the term “medium” is becoming a misnomer. While the vast majority of MTN’s are issued in the short end of the maturity curve (2 - 5 years), our issued MTN maturities in the 10 to 30 year range are becoming more commonplace, In today's market there could be no better choice to invest then in our Bond and Promissory Note issue because are secured by tangible assets what is guarantee for invested funds and of your future.

Why is IBG issuing the Instruments?

Imperial Banking Group have under Management Gold and Diamond Mines in Brazil, Africa and ex-Soviet Union Republis, have bullion assets, and have long term asset management agreements with the Companies engaged in the Crude Oil and Gas exploration. Both of position are used to issue Bonds or Promissory Notes for the private placement purposes. What assets will be used to support the instruments - depend on the clients decision and their demands. It is important to understand that our instruments issue has the underlying security of tangible assets and in today's market there could be no better choice to invest then our Bond and Promissory Note issue. Our MTN’s (Bonds) are debt instruments and are issued in the same form but through a different mechanism than other types of corporate, financial institution or government obligations and are back by tangible asset – Gold! The feature that primarily distinguishes traditional debt issues from our MTN’s is that our MTN’s are offered continuously through our clearing system on a best efforts and underwritten basis.

Why purchase our INSTRUMENTS?

The rapid growth of the MTN market has attracted the attention of a growing number of investment dealers, resulting in increased liquidity (cash funds) for the purposes of modernizing exploration and production of Gold (or other in-ground assets). In fact, the MTN market is as liquid as the traditional corporate bond market, thus providing investors with the ability to transact at very competitive spreads and give the funds for gold production that is granting at maturity agreed profit in percentages for certain time period to be paid in liquid funds or gold in form of gold bars or gold coins.

How the Instrument will be repayed? What security do I have?

IBG has a strong plan for servicing the debt. A large portion of the proceeds from the Bond and Promissory Note Issue sale will be directly deposited into a IBG non depleting account at one of cooperate banks. This portion will be tied loaded onto the Clearing system. The funds will be pledged immediately into a secured program which has been arranged trough our subsidiary financial institutions and banks, to service the debt of the instrument issue. The funds generated by the secured program will be sufficient returns to service the interest payments and full final principle payment at the end of the term of the Bonds / PN isse. The Payment agent at maturity date will depend on serial issue and it can be one of our subsidiary banks that will be involved in such instrument issue, so they will oversee the payments of interest and principle to the instrument holder / bearer.