FIXED INTEREST TERM DEPOSIT and FIXED RATES REACH THEIR LOWS
Income Alternatives
Hybrid securities or preference shares , particularly those of the banks , have proven to be a yield opportunity . Clients assume the risk these securities may in times of severe economic stress may be converted into ordinary shares or worst case , written off . On current pricing and subject to their terms and maturities , after franking yields range between 2.5 % and 3.5 %.
Burrell provide listed & un-listed income opportunities with a broad mix and diversification of holdings within their trusts .
Listed income trusts ( LITs ) trade daily and are subject to fluctuations like shares . LITs are not a short-term investment .
Plato Income Maximizer Trust � After franking dividend earner , current income return over 6 %, payable monthly . Actively traded with the underlying security relatively high dividend paying Australian listed shares .
Gryphon Capital Income Trust � Presently earning circa 4 %, payable monthly , underlying security principally Australian mortgage backed securities with revenue from Australian household mortgages .
Spectrum Income Fund � Earning rate circa 3.3 %, payable quarterly , underlying security principally Australian & international bonds issued by banks , governments and corporations
Perpetual Credit Income Trust � Earning rate circa 3.5 %, payable monthly , underlying security principally Australian & international bonds issued by banks , governments and corporations
Ardea Real Outcome Fund � Earning rate circa 4 %, payable quarterly , underlying security principally Australian & international government bonds with high rating greater than ‘ AA ’, actively traded , large & diverse bonds held
Bonds For clients with in excess of $ 50,000 to invest in specific fixed income bonds , yields between 2 % & 4 % remain and may be sourced from a variety of corporations . A recent example Burrell clients invested is real estate group Centuria Senior Bond .
None of these alternative income investments carries the federal government $ 250,000 bank deposit guarantee . Your Burrell advisor would be pleased to expand further on these and other income opportunities .
Wayne Matthews Wealth Management Advisor Fixed Interest , Not For Profit Specialist ( 07 ) 3006 7213 wmatthews @ burrell . com . au
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