7 reasons to consider an Investment Bond with Centuria

An investment bond offers many benefits that make it a viable complement to an investor’s portfolio. Here are our top 7.

1. Flexible investment options
Investment bonds allow clients to access many asset classes and provide a market-linked investment vehicle to help meet investment goals.

2. No limit on the investment amount
There is no limit on the amount that can be invested to establish an investment bond. Investors can also make subsequent investments up to maximum of 125% of the previous year’s contribution without restarting the 10-year period. Investors can choose to start new investment bonds if higher amounts are to be invested.

3. No excess contributions tax
Investment bonds can provide a tax effective means of investing and avoid excess contributions tax that may otherwise apply in superannuation.

4. Flexibilty
Investment bonds give investors the flexibility to access funds at any time, which can act as a hedge against the restricted access for superannuation.

5. Capital gains tax simplicity
Investment bonds provide simplicity as earnings are automatically reinvested in the bond. This means reinvestment dates do not need to be tracked for capital gains tax purposes. Investors can also switch between investment options without triggering personal capital gains tax.

6. Transfer of ownership / Named Beneficiaries
The ownership of the investment bond can be easily assigned or transferred at any time. The original start date is retained for tax purposes. This may not be achieved within a company structure without creating tax liabilities.

7. Bankruptcy protection
Investment bonds may offer protection from creditors in the case of bankruptcy (subject to certain rules), which may not be provided through a company structure.

Centuria Investment Bonds offers a range of unit-linked, tax effective investment bonds which can be used to meet a range of personal and financial goals.
Our Investment Bonds may suit investors who are looking for:
  • A tax effective alternative to complement superannuation
  • A way to build wealth over the long term
  • Certainty in state planning
  • A savings vehicle for children’s education
  • A strategy to help reduce aged care fees
  • A way to fund a business succession plan
  • An alternative to investing in a company structure
Contact us on: 1300 50 50 50 or visit www.centuria.com.au/investment-bonds

You can download a PDF of the strategy here.

Disclaimer:Centuria’s Investment Bonds offer a tax effective investment vehicle outside of superannuation. They have features that investors should consider if they wish to invest outside of superannuation. Suitability of an investment in a Centuria Investment Bond will depend on a person’s circumstances, financial objectives and needs, none of which have been taken into consideration in this advertisement. Prospective investors should obtain and read a copy of the Product Disclosure Statement (PDS) and consider the information in the PDS in light of their circumstances, objectives and needs before making a decision to invest. We recommend that prospective investors consult with their financial adviser. This document is not an offer to invest in any of Centuria’s Investment Bonds. Investment in Centuria’s Investment Bonds are subject to risk as detailed in the PDS. Centuria will receive fees in relation toan investment in its Investment Bonds. Issued by Centuria Life Limited ABN 79 087 649 054 AFSL 230867.