While mortgage owners are benefiting from Australia’s record-low interest rates, savers are feeling the pinch.
To give Aussie families access to easy, low-cost, and tax smart investment options, Australian Unity has launched a long-term savings product to help plan for life’s most important milestones.
10Invest, an online investment bond, enables customers to kick-start their savings with as little as $1,000 and with no personal income tax to pay after 10 years.
Adnan Glinac, Executive General Manager – Life & Super at Australian Unity said today’s environment is one of the most challenging on record for Australian’s to save for the future.
“With household debt and living expenses on the rise families are looking beyond the traditional means of making their money work harder.”
“Understanding that there’s no such thing as a get rich quick strategy – investment bonds are a sensible and tax-effective way to support people looking to put money away for life’s big milestones.
“We have designed 10Invest to ease the pressure on families trying to save for significant life expenses such as a child’s house deposit, a wedding, a renovation, that once in a lifetime trip or complementing an existing superannuation and retirement plan.”
“Families don’t need to start with much, the main thing is to get started and contribute as often as you can. A little can go a long way over 10 years if you let the power of compound interest and tax effectiveness do some of the heavy lifting for you.”
10Invest has a competitive administration fee of 0.3 per cent per annum and investors can choose from five Vanguard index investment options that suit different investor risk profiles..
Traditionally, Australian Unity’s investment bond products have only been accessible via financial advisers and the major banks.
“We know today’s record low interest rates mean things are difficult for investors. So, with wages growth non-existent, yields low and likely to go lower and property prices unstable, it’s worth considering alternative investment options to help plan for the future,” said Mr Glinac.
Australian Unity is a health, wealth and living organisation providing products and services designed to help people thrive. More than one million Australians have created a bright future with us. Our businesses span operations providing healthcare, financial services, and retirement and living services, employing more than 7,500 people across Australia.
We are Australia’s leading provider of investment bonds with $2.3 billion in funds under management and more than 140,000 investors as at 30 June 2019.