Powered by MOMENTUM MEDIA
moneymanagement logo
 
 

ACBC offer higher yield exchange traded bonds

funds-management/XTBs/ASX/ACBC/

9 November 2015
| By Staff |
image
image image
expand image

A new tranche of exchange traded bonds (XTBs) will provide investors with predictable income returns without sacrificing capital, the Australian Corporate Bond Company (ACBC) believes.

The ACBC released six new XTBs on the Australian Securities Exchange, as part of its second tranche of XTBs.

The company forecast that the new XTBs, which includes three Qantas bonds, and one each from APA Group, Caltex and Mirvax, would provide indicative yields of between 2.83 per cent and 4.98 per cent, with investors receiving payments twice a year.

ACBC chief executive, Richard Murphy, said XTBs provided investors with "an easy way" to protect their investment by accessing fixed income diversification.

"While it's still early days for XTBs, we've been very encouraged by the positive feedback we've been getting from advisers and investors to date," he said.

"Going forward we remain focused on continuing to educate investors on the benefits of gaining exposure to corporate bonds and rolling out new tranches of XTBs."

The ACBC said more XTBs will be launched in the coming weeks.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

The succession dilemma is more than just a matter of commitments.This isn’t simply about younger vs. older advisers. It’...

1 day 8 hours ago

Significant ethical issues there. If a relationship is in the process of breaking down then both parties are likely to b...

3 weeks 5 days ago

It's not licensees not putting them on, it's small businesses (that are licensed) that cannot afford to put them on. The...

1 month ago

After last month’s surprise hold, the Reserve Bank of Australia has announced its latest interest rate decision....

4 weeks ago

ASIC has released the results of the latest adviser exam, with August’s pass mark improving on the sitting from a year ago. ...

4 days 2 hours ago

While the profession continues to see consolidation at the top, Adviser Ratings has compared the business models of Insignia and Entireti and how they are shaping the pro...

1 week 5 days ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND