As with any property investment, investors should make sure that investing in the CORUM SCPI is suitable to their financial position and investment objectives. The appropriate amount to invest in the CORUM SCPI depends on your personal financial position, investment horizon and appetite for the specific risks of real estate investments. Prior to any investment, you should read the information documents, in particular those related to the costs and risks of an SCPI investment. The value of your CORUM shares and any income generated from them may rise as well as fall depending on the situation of the real estate market and the rental terms of the properties. Of course, past performance is not a reliable indicator of future results. By purchasing CORUM shares, you are making a real estate investment: therefore, this is a long-term investment whose liquidity is limited and whose value and any income from it are not guaranteed.

Investing with borrowed money

Buying CORUM shares with borrowed money

In concrete terms, investing with borrowed money means...

Example: 50 CORUM shares bought with borrowed money

  • Amount to be borrowed to buy 50 shares (€1,05 per share) over 10 years: €53,750
  • 2017 net dividend yield(1): 6.45%
  • Loan interest rate: 2.20%
  • Insurance rate: 0.19%
  • (1) Net of management fees.

 

During the loan term 

 
 

Potential income from the SCPI (2)

Loan repayment
Monthly €228.44 €508
Annual

€2,741

€6,096
Total over 10 years

€27,412.8

€60,90

2) For shares entitled to dividends during the whole period considered.

 

At the end of the loan 

Amount of savings built 53,750 
Potential income throughout the loan period €27,412.8

Total cost of the loan

€7,210

   
Any monthly income you receive from the CORUM SCPI will help you cover part of the loan instalments. However, if the shares do not provide sufficient income to repay the loan, or in the event of a price decline when the investor seeks to sell their shares, the investor will have to pay the outstanding amount of their loan.