Fixed Interest Investments in New Zealand

Fixed Interest investments offer you a set level of interest, usually over a defined term. They are especially appropriate if you wish to generate an income from your investment portfolio. 

There are a number of fixed interest investments available, including: 

• Bank deposits
  
• Government bonds
• Corporate bonds
• Managed funds
• Mortgage trusts
• Secured debentures

It is important to have a diversified investment portfolio, which is appropriate for your individual needs.

Choosing the Right Fixed Interest Investment 

There are literally hundreds of fixed income investments available in New Zealand. A good financial adviser will listen to your needs and objectives and offer you a range of appropriate investment products. They will typically consider the following elements when selecting investments: 

• Independent ratings
  
• Financial strength
• Length of time in business
• Management
• Process
• Risk mitigation
• Insurance
• Returns

Investment Returns

Returns vary depending upon the type of investment chosen, and vary with prevailing market conditions. A lower rate of return does not necessarily equate with a lower risk and vice versa.

This article was supplied by Broadbase International Ltd (www.broadbaseinternational.com). Information contained in this article is of a general nature and is not intended as a substitute for professional advice based on your individual circumstances. Disclosure statements are available on request and free of charge.