Do you have money available to invest but nowhere to place it? Let’s face it, current bank accounts are not terribly enticing these days.
There is a better option; a La Trobe Financial Investment Account. They offer rates from (effective 1 Jan 2024) 5.15% for a Classic account and 6.65% for a 12 month account! The minimum deposit is only $10, which makes them hard to resist. La Trobe Financial Investment Account funds are invested into mortgages in Australian property, not dissimilar to what Australian banks do - they just pay more.
6.65% is approximately 2% above the average term deposit across the 4 major banks, which has a $5,000 minimum criteria. 6.25% on $10,000 equates to $665pa or $12.70w - that is at least one large coffee with maybe 2 bickies. $100,000 x 6.65% = $6650 or $128pw (And this is before any compound effect!). I’m sure you get the picture. 6.25% is actually greater than rental return on investment property in Sydney at present, without the costs; rates, insurance, agents fees etc.
This article was updated on 8/1/2024
Disclaimer: The information provided on this email is general in nature only and does not constitute personal financial advice. The information has been prepared without taking into account your personal objectives, financial situation or needs.