Coalition expands retail investor access to corporate bonds
The Coalition Government has announced its further commitment to the development of the corporate bond market and expanding retail investor access to this market.
The Government also said it would consult on further reforms aimed at:
- Simplifying disclosure requirements for listed corporates issuing directly to retail investors; and
- Enabling of parallel trading of corporate bonds in the both wholesale and retail markets via a depository interests framework.
A strong retail corporate bond market was expected to benefit both Australian businesses and investors while providing corporates a viable funding sources to help them grow.
Also, it would help the Government to strike a balance between increasing access to capital for Australian business while ensuring retail investors would have access to the information.
The government said that the first changes regarding simplifying disclosure requirements for companies wishing to issue bonds to retail investors were announced in December, 2014.
According to the press release, the retail investors were currently able to invest in Commonwealth Government Securities via depository interests.
Recommended for you
In the latest Meet the Manager profile, Money Management speaks with Michael Skinner, founder and managing director at Blackwattle Investment Partners.
Perpetual has seen AUM rise 6 per cent in the last quarter but the departure of a longstanding JOHCM fund manager led to outflows of $2.2 billion from his strategy.
Global fixed income fund Bentham Global Opportunities has been added to several major platforms, enabling it to be accessed more easily by financial advisers.
Following yesterday’s news about First Sentier Investors closing four investment teams, a second global asset manager has announced it is closing its only dedicated Australian fund.
