Inflation and the cash rate continually hit news headlines at the moment, but are you aware of what is happening to one of our key interest rate benchmarks, the Bank Bill Swap Rate? Practically every day, the rates are moving higher, which is good news for investors.
The Bank Bill...
Recent new issues by NAB, Macquarie, and Ampol might have you thinking about adding capital notes, sometimes called ‘hybrids’ to your portfolio. In this article, we discuss the advantages and disadvantages to help you determine if they might be right for you.
A capital note is a hybrid product and...
A yield curve shows the relationship between interest rates and the term to maturity. It plots interest rates on the y-axis and term to maturity on the x-axis.
Importantly, interest rates should be taken from the same credit quality issuer and the same currency, as these other factors will influence...
By Mitch Reznick, CFA; Robin Usson, CFA; and Sophie Demare of Federated Hermes
After record issuance in 2021, the Green, Social, and Sustainability bond market (GSS) has grown to a market capitalisation of just under US$2 trillion. The fastest growing security type in this market is the sustainability-linked bond (SLB)....
Companies that offer annuities are significant investors in fixed income assets. In this article, Aaron Minney, Head of Retirement Income Research at Challenger, dispels five annuity myths.
Lifetime annuities provide a simple solution for retirees seeking income for as long as they live. The annuity income is income for life....
In this webinar, we talk with Anthony Kirkham who is the Head of Investment Management/Australian Operations for fixed income manger, Western Asset Management. The company joined The Franklin Templeton Group of companies in 2020. It has USD$491bn in assets under management. In our discussion with Anthony, we drill down...
Most investments have risks and before you invest it’s best to know and understand how the risks could impact your investment.
Fixed income investments can be into companies you already know, such as Commonwealth Bank, BHP or Apple, so if you already follow a high profile company, may overcome an...
Over the last decade, Australia's lending landscape has transformed. Gone are the days when the "big four" controlled the vast majority of Australians' credit needs. We've seen an influx of Non-Bank Lenders (NBLs) to the market, increasingly providing technology-driven lending solutions that traditional banking models have difficulty competing with....
The Australian bank capital note market has long been favored by income investors and is worth around $30 billion. Recent issues mean it's worth examining capital notes, their features and why you would consider investing.
Both Westpac and Macquarie Bank have recently been in the market with a capital notes...
