How does seniority of security work? How is senior secured different from secured?

‘Senior Secured’ is market convention terminology that means a loan or bond has a first ranking charge over substantially all of the assets of the company, meaning that if for any reason security over the company is enforced by lenders, senior secured loan or bond holders will receive proceeds with first priority to any junior or subordinated debt holders and until the principal amount of the senior secured loan or bond has been repaid. At the present time all of the loans or bonds referenced by the wiseAlpha Notes have first ranking security over the borrowing company. 



Capital at risk. No FSCS cover. See Risk Statement.