Any future bond issues by the Bermuda Government will allow more time for investors to get on board, Finance Minister Bob Richards has said.

And Mr Richards added that, rather than lowering the minimum $10,000 investment, more time would allow smaller investors to take advantage of bond issues.

He said: “What I think I would do in the future, as opposed to lowering the minimum rate, I would give it more time.

“I think we were kind of constrained with time and if I had to do it all over again, I would have more time available for people.

“In professional capital markets, everything is kind of compressed, but in the Bermuda situation we needed to make some allowances for the Bermudian situation.”

Mr Richards was speaking as he updated MPs on last year’s $50 million bond issue on Friday in the House of Assembly.

He told MPs the $50 million offering was fully subscribed and around two-thirds of orders were for $50,000 or less and that 90 percent of those were from Bermudian individuals or companies.

He added that all retail and high-net worth investors who submitted applications by the deadline got the full allocation they asked for.

Mr Richards added: “The low pricing and decent order book confirmed that the local market has a very favourable view of the Bermuda credit story despite ongoing economic challenges.”

And he said: “The ratings agencies will look at this local issue positively as they have typically noted in their reports that a relative lack of a domestic Government bond market for a country implies less financing flexibility than that enjoyed by countries able to borrow largely from their own residents.”

The ten-year bonds, which are traded on the Bermuda Stock Exchange, were offered last December at an all-in yield of 4.75 percent and targeted at local investors.

Mr Richards said: “This transaction has created a new source of funding for the Government and expanded local capital markets.

“It has also provided a new investment product and opportunity locally which keeps capital here on the Island.”

And he added: “Potential investors who were not able to participate in the offering during the marketing period and still have an interest in acquiring local bonds should contact one of the local brokerage firms for assistance.”