Effective from Friday, 14 March 2008
Interest rates are subject to change
without notice.
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Standard Rate - Paid Yearly in
Advance |
Standard Rate - Paid Monthly in
Arrears |
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30 Day Variable# |
N/A |
10.50% pa |
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1 Year Fixed Rate1 |
10.40% pa |
10.50% pa* |
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2 Year
Fixed Rate1 |
10.40% pa* |
10.50% pa* |
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3 Year
Fixed Rate1 |
10.40% pa* |
10.50% pa* |
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5 Year
Fixed Rate1 |
10.40% pa* |
10.50% pa* |
# |
Principal and interest repayment
option is only available with the
30-day variable rate. |
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* |
Not available for Monthly Regular
Gearing Facilities. |
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1 |
All fixed rates are indications
only. Firm rates on application.
Minimum loan amount applies. |
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Gearing Information
Margin lending allows you to borrow money, add it to your
own savings or equity and to use the total for investment
purposes.
Borrowing to invest allows you to enhance your potential for
wealth creation by making a larger investment than would be
possible by only using your own funds.
Assumptions:
The illustration below uses an
equity based managed fund for a Margin Loan
with Regular Savings Plan (RSP) based on an
initial gearing level of 50%. Investment
values are considered pre-tax. This example
excludes Interest Charges, Fees and
Brokerage.
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Example using a Margin Loan to
invest in Colonial First State - Australian
Share Fund
Initial Investment
Only
Initial Investment of $5,000 invested. No
regular monthly savings plan is entered into
and distributions are reinvested.
Geared Investment
Initial Investment of $5,000 plus borrowed
funds of $5,000 invested. No regular monthly
savings plan is entered into and
distributions are reinvested.
Non-Geared with RSP
Initial Investment of $5,000 plus regular
monthly investment of $250 from own equity.
Distributions are reinvested.
Geared with RSP
Initial Investment of $5,000 plus borrowed
funds of $5,000 invested. Regular monthly
contribution of $500 invested where $250
borrowed monthly and $250 invested from own
equity. Distributions are reinvested.
Please Note:
This
example is intended as an illustration only.
Colonial First State Australian Share Fund
is issued by Colonial First State
Investments Limited ABN 98 002 348 352 AFSL
232468 , a wholly owned subsidiary of
Commonwealth Bank of Australia . A Product
Disclosure Statement ('PDS') describing the
Colonial First State Australian Share Fund
is available from your financial adviser or
by contacting Colonial First State on 13 13
36. You should consider the PDS before
making a decision about the Colonial First
State Australian Share Fund.
Commonwealth Bank of Australia and its
subsidiaries do not guarantee or in any way
stand behind the performance of the Colonial
First State Australian Share Fund or the
repayment of capital by the Colonial First
State Australian Share Fund. Investments in
the Colonial First State Australian Share
Fund are not deposits or other liabilities
of Commonwealth Bank of Australia or its
subsidiaries and investment-type products
are subject to investment risk, including
delays in repayment and loss of income and
capital invested.
Past performance is not a reliable
indicator of future performance.
Taxation benefits will vary according to
individual circumstances and are subject to
changes in legislation.
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Colonial Geared Investments
is part of the Commonwealth
Bank of Australia ABN 48 123
123 124 |
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Simply download the Application
Form above. It’s that easy!
For more information about margin lending and Colonial
Geared Investments please click
here |
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