A Bell Potter margin loan offers you the opportunity
to potentially increase your wealth by borrowing to invest in
shares and managed funds. Borrowing to invest, if used as
part of a comprehensive investment strategy, may help grow your
wealth by building a larger portfolio, quicker.
Today's Variable Rates
| Loan Amount($) |
Rate |
| <
$100,000 |
6.20% |
| $100,000 -
$250,000 |
6.10% |
| $250,000 -
$500,000 |
6.00% |
| $500,000 -
$750,000 |
5.80% |
| $750,000 -
$1,000,000 |
5.60% |
| $1,000,000
+ |
5.40% |
*Last updated 02/10/2019
List of Securities we lend against
Portfolio Lending Accounts:
Super Lending Accounts:
For recent updates to the Approved Securities List please click here.
Benefits
We offer competitive interest rates with borrowing across a
large range of Approved Securities.
Increase the size of your investments
- Unlock equity by borrowing against existing holdings in your
portfolio.
Dividends and franking credits
- With a larger portfolio you can increase your potential to earn
dividends along with associated franking credits and take advantage
of any capital gains.
Diversification
- Create a more diversified portfolio without having to sell
existing holdings.
Invest tax-effectively
- Potential tax deductibility of some or all of the interest on
the loan (depending on your personal tax situation).
Ownership
- You remain beneficial owner of the stocks in your
portfolio (unless you are in default).
Risks
Margin lending also has its risks. While a geared investment can
multiply your returns, it also has the potential to multiply your
losses.
| Risk |
Description |
| Fall in
the value of portfolio |
- If your portfolio falls below a certain value - known as the
loan-to-value ratio (LVR) - you could face a margin call. You could
be required to add more collateral to your loan or to sell down
stock to cover the shortfall in value.
|
| Interest
rate increases |
- A rise in interest rates may mean that dividend receipts will
cover less of the financing costs.
|
| Full
recourse |
- Margin loans are full recourse meaning that if you can't
pay back the loan, other assets owned by you may be sold
to repay the outstanding amount.
|
Suitability
Margin lending is not for everyone and should only be used as
part of a wider investment strategy. A Bell Potter investment
Adviser can help you to work out if margin lending is
suitable for you.
As part of the application process you will need to complete a
Suitability Statement, which asks questions about your current
income, expenses, assets and liabilities.
Find out more
Key Documents
Portfolio
Lending Brochure
Portfolio Lending Product Disclosure Statement
(PDS)
Portfolio Lending Application Form
Bell Cash Trust Product Disclosure Statement (PDS)
and Application Form
Master Priority Deed