School debentures and capital notes
Hong Kong’s international schools finance themselves partly through debentures, capital notes, nomination rights and levies. Some are transferable and trade on a secondary market; most are not. We tell you which is which, what each actually buys, and whether it is worth the price for your child.
What these instruments are
Different names, different rights. A debenture at one school is nothing like a nomination right at another.
A debenture is a loan or capital contribution to the school that gives the holder a nomination right: the right to put forward a child for priority consideration. A capital note is the same idea under another name. A nomination right is usually a non-refundable, non-transferable payment that brings priority at interview. A capital levy is an annual charge for families who hold no instrument. The rights, refund terms and transferability differ school by school and year by year.
Three facts matter in every case. First, no instrument guarantees admission: the child is still assessed. Second, only some instruments can be sold: HKIS, ESF, YCIS and SISHK instruments have no secondary market, while ISF, Harrow, CIS and VSA instruments do, subject to school approval and fees. Third, the education recommendation comes first: a transferable note is only worth buying for a school that fits the child.
School by school
Ten schools, their instruments and the market, as published and reported.
| School | Instrument | New issue or school terms | Secondary market reference | Transferable | Effect on admission | Notes |
|---|---|---|---|---|---|---|
| Chinese International School (CIS) | Corporate debenture | Not currently issued at a published price | On request; secondary references have historically reached HK$10 million | Yes, with school approval and transfer fee | Holders receive the highest admission priority; admission still depends on assessment | Corporate instruments suit multinational employers; individual and corporate forms both exist. |
| The ISF Academy | Capital Note | Not mandatory; alternative annual building fee of HK$40,000 | HK$4.3 million to HK$6.5 million (KC list HK$4.8 million to HK$6.5 million) | Yes, secondary market only | Priority assessment and a second assessment opportunity; no guarantee of admission | The most actively traded school instrument in Hong Kong. |
| Harrow International School Hong Kong | Individual or corporate debenture | HK$5 million (new issue) | About HK$3.2 million to HK$3.3 million | Yes, with school approval and transfer fee | Admission priority for holders; entry without a debenture remains possible | Alternative: annual capital levy of HK$60,000 after admission. |
| Hong Kong International School (HKIS) | Family debenture; standard and comprehensive corporate debentures | Family HK$3 million; standard corporate HK$3 million; comprehensive corporate HK$5 million | No secondary market | Family debenture transferable within the immediate family only; corporate debentures cannot be sold or transferred | Admission priority; a family debenture can benefit several children of the same family | HKIS states that its debentures cannot be sold. Do not plan on a resale route. |
| Victoria Shanghai Academy (VSA) | Individual and corporate debentures (no new issuance) | Not issued | Individual about HK$2.5 million to HK$2.65 million; corporate about HK$3.6 million to HK$4.2 million | Corporate debentures transferable within the holding company to employees; individual debentures tied to a named family | Admission priority for holders | Separate development fund of HK$60,000, refundable after one year of attendance or on graduation. |
| Christian Alliance International School (CAIS) | Individual capital certificate | HK$560,000 first child; HK$504,000 second; HK$476,000 third (2026–27) | Transfers handled by the school | Yes, via the school at a fee of 1% of face value | Holders are exempt from the annual levy of HK$30,000 | Confirm with the school whether the certificate is required for new admissions in the relevant year. |
| English Schools Foundation (ESF) | Individual nomination right | HK$500,000 (14 primary and secondary schools); HK$400,000 (Renaissance College and Discovery College) | Not transferable; no market | No | Priority interview and admission | Non-refundable, except HK$50,000 returned if the child is not admitted after interview. |
| German Swiss International School (GSIS) | Standard, development and infrastructure debentures; capital levy | Standard HK$800,000 (refundable); development HK$350,000 (non-refundable); infrastructure up to about HK$6 million (non-refundable); capital levy HK$20,000 a year | Infrastructure debenture not transferable | Limited | Infrastructure debenture families are placed ahead of other priority categories | Standard debenture refundable on leaving; other classes are not. |
| Yew Chung International School (YCIS) | Mandatory debenture, tiered by child | Early childhood HK$150,000 / 100,000 / 75,000; primary HK$350,000 / 175,000 / 87,500; secondary HK$470,000 / 235,000 / 117,500 | Not transferable | No | Purchase does not guarantee admission; academic assessment applies | Refunded in full after graduation. |
| Singapore International School (Hong Kong) | Mandatory individual or corporate debenture | Individual HK$200,000 (HK$120,000 for Singapore passport holders); corporate HK$500,000 | Not transferable | No | Required to hold; refundable in full | No secondary market. |
Compiled from school publications as reported by KC Consultants school price list and Syfe magazine, Hong Kong international school debentures (May 2026), checked October 2026, and rewritten. Figures are indicative and change; the school’s current terms govern. We obtain the issuing school’s written terms before any introduction.
How a purchase or sale works
Education view first
Whether the school fits the child, in writing, before the instrument is discussed.
The school’s terms
The current debenture or capital note terms from the school: nomination rights, transfer approval, fees, levies, waiting periods, refund terms.
Introduction
A seller or buyer at a price agreed between the parties; AJPE’s commission disclosed to both.
School approval
The school approves the transfer and the nominee; most charge a transfer fee. Approval is the school’s alone.
Completion
Transfer documents and settlement through the school or a solicitor, as the school requires; the nomination registered.
Application
The admissions application itself, prepared with the family through our admissions service if wanted.
Our fee and our position
A commission of 2.5% of the transfer price, with a minimum of HK$50,000, payable by the party who engaged us on completion of the school’s approval and the transfer. School transfer fees, levies and legal costs are paid to the school or the solicitor. Full terms are on the fees page.
AJPE is an introducing agent, not a dealer. We do not hold instruments, make markets, offer them to the public or give investment advice. Where a family wants a view on the financial or tax character of an instrument, we refer them to a professional adviser.
Questions about debentures
Will a capital note get my child in?
No. It brings priority consideration, and at ISF a second assessment opportunity. The child is still assessed, and the school may decline.
Can I sell it later?
At ISF, Harrow, CIS and VSA, yes, under the school’s approval and fee; at CAIS through the school. HKIS, ESF, YCIS and SISHK instruments cannot be sold. Do not finance a purchase on an assumed resale.
Individual or corporate?
Corporate instruments are held by a company and let it nominate employees’ children; they usually cost more and suit employers. Individual instruments are tied to a family. Tax and ownership consequences differ; take advice.
What about the annual levy alternative?
At Harrow (HK$60,000 a year) and ISF (HK$40,000 a year) a family may pay a levy instead of holding an instrument. Over a short stay the levy is cheaper; over a long one the note may be, depending on resale. We model both.
Weighing an instrument?
We give the education view and the capital view separately, in writing, before you decide.