What are the risks of losing funds in the case of bankruptcy or closure of the Nekster company?
Is it possible to see the insurance policy of the insurance company that insures listed investments?
How safe is investing on the Nekster platform?
Every loan that is listed as an investment on the platform needs to pass a two-degree assessment system of prevention of non-performing loans. Moreover, investments are additionally insured against non-payment at the Acredia Versicherung AG insurance company of the Euler Hermes Group, as stated in the insurance agreement.
Certain investments are further protected with additional guarantees. The platform lists investments with warranty labels BG (BuyBack Guarantee) and PG (Payment Guarantee).
PG – Payment Guarantee insures an investment against non-payment. If such an investment faces non-payment within the due payment date, a recovery procedure is initiated within 30 days after the due date. In the case that no payment has been made within 30 days after the beginning of the recovery procedure, the insurance company repays the damages within 180 days pursuant to insurance policy.
BG – The BuyBack Guarantee label allows for an investment to be canceled anytime. At the same time, it insures an investment against non-payment at the insurance company. In the case that such investment has not been paid off before the due payment date, the lender buys back the investment within 30 days after the due date, and continues with the recovery procedure pursuant to the insurance policy.
Along with the previously mentioned security mechanisms and insurances, the Nekster investments are also protected with the additional security fund. We contribute our share to the security fund based on the degree of default risk, which ensures that we pay out all the incurred damages the latest within 30 days after the beginning of a damage case. You can find more information about the security of investments here.
Nekster is committed to security both on the level of listed investments and of your funds, data, and account, with the most advanced security mechanisms in the digital world. From two-factor authentication and constant fraud control to 256-bit encryption and security back-up, Nekster provides a secure and safe experience for every investor. You can find more information about the security of your Nekster account here.